My superannuation is in a balanced account and falling. Is is a good time to move it to a conservative account?
Superannuation Balance Falling
aocal on 23/05/2022 - 09:56
Comments
Lock in those losses!
Just HODL
How many years until retirement op?
Do you have a basic understanding of investments? If not, I'd suggest you seek some professional advice.
And when you go see them, I hope you provide them with more information about yourself (unlike in this post!) so that your own personal circumstances are considered in any advice you receive.
My superannuation is in a balanced account and falling
Seen whats going on in the world recently?
It depends on how long you got till retirement - you have more then 10 years just wait it out you got less then that you might want to talk to an adviser
I am already retired. Have spoken to financial advisor who asks questions to see how I feel about risk. I want to move to conservative but my balance has dropped by 1000s of $$ and may not get it back it I make changes now.
And did your adviser suggest you move to conservative or stay where you are?
What was the logic behind that advice?
Why do you have reason to doubt this logic and/or the advice arising from it?
Retired and putting your money in high growth is living on the edge.
I'd of converted to conservative as soon as you retired.
I'd go 5 or 10 years before planned retirement. Don't want to be working for more years because some idiots printed money while others sold junk bonds as AAA. (can you tell I watched The Big Short lol)
This would be ideal.
But yeah, someone has to get greedy in the end.
If you're going to live another 20-30 years after retirement, isn't that a bit early to switch to conservative?
Well if you're OK with seeing 20-30% downswing for recessions like we're in now then yes
That's it. You don't want to react now… unless you believe it will be falling further. But if you believe this could be nearing the bottom, it would be time to buy, not sell.
To change strategy, you have to do it when it's booming. The decision to exit should be "I don't see this growth is sustainable" not "this is the pits".
The bottom is in when everyone capitulates and sells.
People that are 😭 now at -10.0% will be totally destroyed at -30.0%.
Buy high sell low, sounds legit…
rekt trading hasnt commented yet? youre late bud
eating lobster for breakfast on his yacht he bought with yesterdays gains
Crystal Ball says maybe….perhaps
sell low buy high
Buy low, sell lower. 😆
Seriously, take the 💵 out and put it in your savings account.
How's your cryptocurrency losses?
🙇 for asking.
I bought more #BTC yesterday at just below $30,000.
.#Bitcoin is the way.
The SPX is going to pre Rona damp.
Watch the 💉🛀 and prepare to drop the 🧼.
the more people who sell the better it is. Cause then the market will reach bottom faster. And then the whales will start to purchase bargains.
Stonks will go down and sideways for the next ✌️ years.
FIL left his money in super after retired, was living off 23% for a few years then lost half of it, Father took his out and put in bank and still has it.
An incredibly sad story that he missed out on such life changing gains over the last decade.
Thanks for the reminder about how bad the impact of poor timing can be.23% - why did he take out so much -
a big question is if you can ride out the downturn -
I suppose best strategy would be to have a budgeted plan of spending - then once you hit that target - go more conservative. Its when greed gets you.
9/11
Is is a good time to move it to a conservative account?
Go aggressive into growth. NASDAQ down something like 20%. If iphones went on sale 20% (plus annual dividends) it would be a 3000+ up vote deal on OzB.
Look at Microsoft US$343 to US$250, 27% down, P/E 26 which might be a bit high but it depends on your view of them being able to compete in cloud computing and whatever else that might come and companies coming off Windows and Excel.
Go aggressive into growth. NASDAQ down something like 20%. If iphones went on sale 20% (plus annual dividends) it would be a 3000+ up vote deal on OzB.
The majority of people invest using their 🦎 🧠.
They FOMO 🔺 and sell the bottom.
The rule of thumb is you earn half the money you get from super in the returns earned after you retire.
If you miss out on these you will be much poorer.
If you feel you can predict the best time to buy and sell, why didn't you sell in January?The bottom isn't in yet.
If OP is down -10.0% then they'll ❤️ it at -30.0%.
From your 2021 post and your above comment, your biggest threat to your super balance is your lack of trust with your financial advisor.
There is no "good time to move all to a conservative" investment, as you will run out your retirement egg sooner than you just leave it alone.
Review your current asset diversification is important, but when the market is thriving and not when it is falling.
I hope you have a "2 year" cash buffer you withdraw from during the low market time. Then when market returns in a few years, replenish your buffer.
your biggest threat to your super balance is your lack of trust in your financial advisor.
Where was the financial salesperson in March 2021? They get paid to see that stonks were too 🔥 and needed a cool down.
Best Super Fund for Retirees
aocal on 17/03/2021 - 08:15
Currently, I use a financial advisor for my superannuationThanks for answering your own question
maybe have a yearly buffer in cash/conservative, and every month move a month out from growth to the cash/conservative.
ie if ur balance is 400k and u need 25k a year, do 25k and then move 2k a month
Leave it unless you know when the market will recover.
Super Unit prices fluctuate daily and most listed unit prices are 2 days old - they don't and can't show real time prices (say) like the share market. So you're at best guessing what the unit price will be, unless you know how yours is specifically calculated.
So unless you know what's happening with the market your super is invested in, you might end up selling at low price and re-buying at high price, in which you might lose even more!
If it's any consolation, my Super too has dropped a significant amount - most would have as many are based on the markets. I'm not retired so I just saw the unit price drop as opportunity to contribute more to Super. I watch mine frequently and while it has dropped, there are days that it also spikes and recovers (again, to do with the daily unit prices).
When are u retiring? If u move your super now you crystalusethose losses. Right now u haven't actually lost anything…u only have lost value if u move your money. Super is a long term investment.
Comforting thoughts if you’re in your early 20-30 when you can take a few hits, not so great if you’re on the cusp of retiring or retired.
And that’s why super is a rort.
People should take solace in that the CEOs and the rest of the executives are rolling in $1,000,000s every year regardless of how the funds are doing.
Your 💵, their lambos and yachts.
Wouldn't you consult a professional?
I’m not sure why someone would ask a bunch of randoms what they should be doing with their life savings, instead of asking a professional for probably minimal cost.
OP: Ask a professional.
A pro like Léon?
https://money.yahoo.com/retirement-savers-lose-stock-market-…
This year, the S&P 500 has slumped over 20%, the Dow Jones Industrial Average has fallen close to 16%, and the Nasdaq Composite has dropped more than 28%. As a result, Americans lost $1.4 trillion in their 401(k) accounts and another $2 trillion in IRAs, according to Alicia Munnell, director of the Center for Retirement Research at Boston College.The $SPX is officially in a 🐻 market.
What the 🌎 needs now is a good hard punch in the kidney by Powell to send the markets over the cliff.
No.