General Discussion

Just spoke with my advisor last week and he said they have been rebalancing all portfolios to keep them from getting overweighted with tech funds.

Moving to cash or money market now might feel like the safe thing to do, but timing the market is a fool’s errand. Cash/Money market accounts will never keep up with even mild inflation, and if we enter a recession as expected, inflation could hit double digits. You might lose money on paper, but inflation will eat away at the purchasing power of your cash.

Our portfolio has survived the crashes of 1987, 2001 dot com bust, 2008 GFC, and COVID, and recouped the losses (which were always less than the DOW/S&P drops) and went on the make significant gains. Some years were nail biters, but we stayed the course and are better off for it.

We are retired now (left work just before COVID), and maintain a moderate risk portfolio of 60/40 stock/bonds.