Friday, November 10, 2023

What does a good financial plan look like?

 

S&P 500 Shatters Past Key Resistance

Market up 14% YTD despite doom and crash predictions. What is going on? Consumer spending and job growth are still positive. According to Charlie Munger, High Returns Don't Actually Require High Effort. You don’t need to be a fast trader to earn great returns. Controlling our emotions is key. The power of patience is Charlie Munger’s magic formula for financial triumph. "The big money is not in the buying and the selling but in the waiting." Women are better investors than men for this reason—fewer trades. Despite the negative common image, buy and hold provides the best long-term returns—10.81%. The media lives on fast security movement but stocks of solid companies don’t move quickly. Thus Charlie’s Berkshire Hathaway (24% returns) has held the same buys for years (seven-year purchase of the 400 million shares of Coca-Cola). Over a 20-year rolling period, you can see that a 100% stock portfolio beat everything else 99% of the time: Most of the time, by a LOT. Even when stocks performed relatively poorly, it’s only by a little.

Patience; not trading: https://www.amazon.com/Snoring-Best-Way-Create-Wealth/dp/1466408928

 

What does a good financial plan look like?

Paying your advisor/broker for a plan could mean just a thick file restating your financial situation Right Now. However, that does not count. It is the beginning of the analysis of your trajectory. A plan must take your current situation and with your dreams, input and thoughts, plot every year and every change that is possible as you live to age 100. For instance, when we did ours with a professional fee-only planner, we needed to know how long we could keep our home given the huge taxes in New Jersey. We were also 7 years away from paying off our mortgage. Could our income be sustained given that our assets were 70% equities, 30% fixed? Could our nest egg last? What would happen if we had a large expense (medical? home fire? travel for large family funerals? etc?). How much could we afford if our current expenses increased dramatically? Our planner provided a detailed (month and year) estimate of income and expenses. It included best guess on Social Security, property tax and investment increases as well as normal living increases. The report was 60 pages with charts, graphs and list of assumptions. Get details.

https://www.amazon.com/Your-Plan-Live-Age-100/dp/1548180793

 

Are alternative investments important in your portfolio?

Alts, as they are called, provide wealthy investors something new for their advisor to play with since alts rarely play a critical role in investors’ asset allocations. An alternative investment is a financial asset that does not fall into one of the conventional investment categories. Conventional categories include stocks, bonds, and cash. Alternative investments can include private equity or venture capital, hedge funds, managed futures, art and antiques, commodities, and derivatives contracts. Real estate is also often classified as an alternative investment. Even when they don't involve unique items like coins or art, alternative investments are prone to investment scams and fraud due to the lack of regulations. Alternative investments are often subject to a less clear legal structure than conventional investments. Most alternative investment assets are held by institutional investors or accredited, high-net-worth individuals because of their complex nature, lack of regulation, and degree of risk. Many alternative investments have high minimum investments and fee structures, especially when compared to mutual funds and exchange-traded funds (ETFs). Most alternative assets are fairly illiquid, especially compared to their conventional counterparts. Thus you would find it difficult to sell alts if the need arose in an emergency.

You don’t need alts to be a successful investor: https://www.amazon.com/Millionaire-Mutual-Funds-Save-taxes/dp/1534939490

 

Why many working people can’t retire

Half (46%) of retirees said they actually left the workforce earlier than planned. In many cases it was because of health issues or job loss. There is no easy way to recover from these hardships and return to similar employment. Thus saving for retirement may be next to impossible. In fact, the Census Bureau estimates that nearly half of all Americans have no retirement savings to speak of. 25% of Gen Z workers are supporting family members — and risking their own financial future. Many working people found it hard not to take their earned retirement nest egg and use the money for current income. One answer given by some of the lucky folks was that they had developed a second job or could increase revenue from a hobby to resume saving. The lucky ones could count on a well-paid spouse for income/savings. Some were able to find related employment but usually the pay was less than the job they had. Some had maintained work-related contacts so they were ready to be hired when a job opening occurred. In the case of a union member, this supplemental savings created by their own union dues was required in their old job. For some lucky folks, they had supplemental savings they could draw on until they found their next job. Some used the Tax-Free IRA to protect their savings from taxes and creditors.

Go Tax-Free: https://www.amazon.com/You-Can-Afford-Retirement-FEE-TAX-FREE/dp/1517738253

 

 

 

 

********ACCOUNTABILITY**************?

 

 

Like 1776, this period is a test of democracyWe rejected an "American fascist" once

 

 

The Path to Dictatorship: 2010-2030

 

Parallels of this era in the past may hint at our future: democracy breaks apart legally

 

 

Jan 21 2010 Corpor­a­tions’ election-spending unlim­ited

Billionaires paid $881 million for votes in 2022 midterm elections

 

Nov 2020 Wealthy discredit election process

 

Nov 21 2020 Trump’s Plans for a Coup: criminal

 

Nov 21 2020: Trump plan: US Marshals seize voting machines

 

Jan 6 2021 Direct govt overthrow failed: guns & bombs ready

 

Trump engaged in a "criminal conspiracy" to stop Biden

 

I don’t f—ing care that they have weapons

 

Trump was “detached from reality”

 

Trump used mafia-style intimidation on the defenseless

 

Trump still terrorizing election woman

 

Parscale: “a sitting president asking for civil war.”

 

Trump: “Just say the election was corrupt and leave the rest to me” 

 

GOP fascism: “RINO hunt armed; no bagging limitJ6 comm threat

 

January 6, 2021A date which will live in infamy

 

Trump’s Supremes END personal rights & state laws except for weapons WMDs

 

Fascism: GOP to stop women leaving state for abortion

 

It’s not a court. It’s a junta: Two Americas

 

Trump: President Biden is 'enemy of the state'

 

Christian Nationalist Party (CNP) replaces GOP

 

Nov 8 2022 Trump’s “national revolution” failed

 

Nov 15 2022 Trump announces for 2024 to avoid lawsuits

 

Dec 3 2022 Trump: cancel Constitution rules so ‘I win

 

Mar 11 2023 Pence straddles his place in history

 

Mar 31 2023 Trump indicted misusing election money

 

Apr 7 2023 One GOP guy decided which drugs we can use

 

Apr 9 Illustrated Anne Frank book removed by Florida school

 

Apr 21 Trump: “I am your justice

 

May 9 Trump guilty of sexual abuse

 

Jun 8 Trump indicted by the United States of America

Violation of the Espionage Act

Conspiracy to obstruct justice

Making false statements 

 

Aug 1 2023 Trump indicted by the United States of America

Conspiracy to defraud the United States

Conspiracy to obstruct Congressional proceeding

Obstruction of and attempt to obstruct an official proceeding

Conspiracy against right to vote

 

 

Attempted coup d'état by any other name

 

350+ people have been sentenced to jail or prison.

 

 

Trump and His Gang Get the Mob Treatment

 

Aug 4  “IF YOU GO AFTER ME, I’M COMING AFTER YOU!”

 

Mobster #1 Enrique Tarrio gets 22 years 

Mobster Stewart Rhodes sentenced to 18 years

Mobster Ethan Nordean gets 18 years

Mobster Dominic Pezzola sentenced to 10 years

 

 

 

Aug 14 2023 Trump & 18 indicted by the State of Georgia

 

VIOLATION OF THE GEORGIA RICO (RACKETEER INFLUENCED AND CORRUPT ORGANIZATIONS) ACT SOLICITATION OF VIOLATION OF OATH BY PUBLIC OFFICER

CONSPIRACY TO COMMIT INIPERSONATIN PUBLIC OFFICER FIRST DEGREE

CONSPIRACY TO COMMIT FALSE STATEMENTS AND WRITINGS

CONSPIRACY TO COMMIT FALSE DOCUMENTS

FORGERY IN THE FIRST DEGREE

CONSPIRACY TO COMMIT FALSE STATEMENTS AND WRITINGS

FILING FALSE DOCUMENTS

SOLICITATION OF VIOLATION OF OATH BY PUBLIC OFFICER

FALSE STATEMENTS AND WRITINGS

SOLICITATION OF VIOLATION OF OATH BY PUBLIC OFFICER

FALSE STATEMENTS AND WRITINGS

 

 

Aug 24 2023 The Don, Racketeer: GA jailhouse real ‘mug’ shot

 

Oct 2 2023  Kelly, Trump’s staff, confirms Trump called our veterans/wounded soldiers “suckers

 

Wannabe Dictatorto run House of  our? “Representatives

 

 

 

Jan 2025 Dictator pardons himself: his Supremes agree

 

 

How Govt wastes our money:

Ohio GOP purged 26,000 voters days before abortion referendum deadline

We pay GE for their fighters with XA100 engine to go faster: corporate socialism?

Ultrawealthy Use Private Foundations to Keep Millions in Tax Deductions: we get little

Billionaires’ luxury rides come with millions in tax savings : just claim it is for biz use

IRS standard deduction for married couples filing jointly in 2023 is $27,700, up $1,800

Marginal tax brackets for 2023 tax year: billionaire rate 8.2% less than our lowest rate

 

 

SCAMS/SPINS:

Avoid the bad travel experience on Basic Economy

RE brokerages lose first court battle over agent commissions

To Avoid A Reverse Mortgage Scam

 

Insurers use new ways to undermine our security and juice their profits 

Hundreds of complaints and one federal investigation later, Samsung refrigerators top list

Tyson recalls chicken nuggets: metal pieces inside FREE

Apple caught hiring favored immigrant workers over citizens: lower cost more profits?

 

Paul Richard Massey, WV Allstate claim adjuster: wire fraud and money laundering

Kemper Settles Complaints About Slow Response to Auto Claims: low customer scores

Recall WanaBana and Weis brand apple puree and applesauce: lead excess is FREE

Drug shortage causes hidden by manufacturers: secret suppliers, change prices,

 

Cigna doctors reject patients’ claims without opening their files. 

Citigroup caught for targeting Armenian-American card applicants for denial: fine no jail

CFP advisors will now be publicly sanctioned: detailed complaints, reasoned decisions 

 

Congress has plan to cut Social Security/Medicare quickly without debate: take our $$

GOP Johnson says “trust us” on new funding for gov: stopgap bills over months is plan?

 

Family home shortage: Private equity TPG is buying and renting single-family homes

 

Spain's Catholic Church apologizes for sexual abuse: 728 alleged sexual abusers 

 

Most adults think AI will add to election misinformation in 2024

GOP goes after Biden family: ramp up their impeachment inquiry into the president.

 

Jobs

rail tunnel project between New York City and New Jersey begins after years delay

jobs.interestingengineering.com/

 

 

Who owns your account now?

Supremes Decide if Domestic Abuse Orders Can Bar Guns: Death or Life?

Employers can add after tax emergency savings accounts to 401k for workers next year

Berkshires’ Munger loves 3 individual stocks: it’s the business model he likes

 

Best 529 College Savings Plans: Morningstar

Amazon Prime members can buy One Medical memberships for $99 a year: video chat

Donor advised fund or private foundation: Q&A to consider which or both

 

Miracles:

Diagnose Type 2 diabetes with just 10 seconds of your voice

Britain’s ‘loneliest sheep’ rescued after two years at foot of cliff

But the globe set a decisive record for hottest October on record

 

ohio-passes-issue-1-ballot-measure-abortion-rights/

drones form dragon in China sky

A spinal cord implant allowed Parkinson’s patient to walk again after losing mobility

 

NASA Unveils Full Set of Webb’s First Images: look back millions of years

Pope OKs trans people to be baptized as Catholics and serve as godparents.

 

 

 

 

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Our Universe is Mind-Blowing

Light is both a particle and a wave depending on how we look at the light.

I don’t think that there is any such thing as a position or a velocity of a particle.

Everything (galaxies to stones) in universe made of subatomic energy ‘vibrations’

A subatomic ‘particle’ is the smallest possible vibration (quantum) of a quantum field.

A ‘particle’ is an event; not an objective thing. This event is set of complex relationships.

 

Mass–energy equivalence: E=mc^2.  At the smallest level; Everything is moving

Energy into matter: scientists converted light energy directly into matter in one step

In place of atomic lattice, light waves used to create an optical lattice with same geometry

Physics Nobel Prize: “entanglement” 2 particles share info instantly at a distance

Quantum mechanics violates local realism: two objects behave as single system at distance

 

“It may be that gravity and quantum mechanics are exactly the same thing,” Leonard Susskind

Gravity might induce the collapse of quantum vibrations into 1 quantum state—our world

Strange state of physics that allows energy to flow frictionlessly through a material

Bending light from extreme gravity reveals largest black hole so far

Curved SpaceTime: heavy masses and simultaneously quantum effects become visible

There is no TIME at this level because of force fields come and go in all directions. 

Universe expanding: events may not come together like they did before: created our time.

Our planetary system: rarest system: only 1% of all systems with same number of planets

 

Stars fueled by the self-annihilation of dark matter might have been spotted for the first time by JWST

Inside protons, neutrons, it is the fields of the virtual particles that creates its mass.

Gold made from neutron stars: collisions produce more neutrons:79 protons,118 neutrons

The proton is so complicated science still finds new energy entities/forces every year.

 

“Empty space is a boiling, bubbling brew of virtual particles that pop in and out of existence in a time scale so short that you can’t even measure them.” Space expanding.

New method to study systems with long-range interactions: previously puzzling experts

The electricity we use comes from the field around the wire not from electron itself.

 

Natural ‘missing law’ explain how universe evolved: functions increase in complexity over time

Scientists build 'baby' wormhole as sci-fi moves closer to fact: inside quantum computer

starts-with-a-bang/universe-expansion-not-accelerating/

Physicists knew black holes eventually disappear particle by particle. Now they think everything else does, too.

Astronomers discover raw materials for life are present all across the Universe: methyl cation

 

 

 

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We can apply for Medicare online: https://blog.ssa.gov/apply-for-medicare-online

We can apply for Social Security online: https://www.ssa.gov/benefits/retirement/

We can apply for health care online: https://www.healthcare.gov/

 

IAN

973.746.2014

http://www.theinsidersguides.com/ 

Alerts available at http://dankeppel.blogspot.com/ No AI used in these comments

 

 

 

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