Bidenomics

[Kraken]

I’m retiring next year and kinda counting on my money not going <poof>. I took 2/3 of it off the market with a nice boring annuity a couple of years ago, but the 1/3 that's still invested is meant to replace our walking-around money for the next several years. If trump's economic policies go through I won't be walking around very much.

[LordMortis]

I don’t want to start a trump economy thread for obvious reasons. But I have to put this out there: If trump should win, what are you doing with your investments? Will the markets crash based on his proposed economic policies, or will they wait and see? Might they even surge because the rich are going to get much richer?

My gut reaction says to pull money out of stock funds and park it in cash. My ESG fund in particular (which has done very well with Bidenomics) will suffer under Republican rule. But that falls under “timing the market,” a notorious fool’s errand.

I suppose it depends on Congress’s composition. I’m just nervous about the possibility of a Black Wednesday next week.

I am already putting funneling more money in to cash alternatives. Mostly shorter term TBills at this point. When they cut rates, I'll probably start looking at short term CDS or start playing games with finding high yield online savings accounts like so many others do and I am loathe to play with. The market is already "too high" IMO, and TFG and his tech sector private equity support will be playing games no matter the outcome. They already crashed the regional banks in 2022 for profit and wanted to do much worse damage than they did. They are getting more organized and more open about their goals and the means to achieve them and they are going largely unchecked, allowing them to push harder.

I’m retiring next year and kinda counting on my money not going <poof>. I took 2/3 of it off the market with a nice boring annuity a couple of years ago, but the 1/3 that's still invested is meant to replace our walking-around money for the next several years. If trump's economic policies go through I won't be walking around very much.

While I don't like annuities as a rule, if you are 66% deep in them, and already have a good chunk of cash alternatives, you kinda have to keep the rest in ETFs or securities you are most confident in, don't you? Unless you think you are smart enough to time the ins and outs (which I am not, except for in 2008 - 2009/10even, wherein I am still annoyed at listening to the experts instead of believing my lying eyes)

[Kraken]

I was leery of annuities but our financial advisor showed me detailed numbers for what our “safe money” can be expected to do while we leave it alone. This one adjusts once a year. If the index markets are up, we get 75% of the previous year's gain; if the markets go down, we lose nothing.

[GreenGoo]

I’m retiring next year and kinda counting on my money not going <poof>. I took 2/3 of it off the market with a nice boring annuity a couple of years ago, but the 1/3 that's still invested is meant to replace our walking-around money for the next several years. If trump's economic policies go through I won't be walking around very much.

Standard wisdom is that you should move away from stocks the closer you get to retirement, as stocks are a long term play with lots of ups and downs along the way. Since you're a year away, you might consider something more stable, like a bond ETF or something similar. Of course you should be diversified anyway, so hopefully we're not talking about a lump sum of all your assets in one vehicle.

Also, if you have enough income that you can leave your money in something semi-long term, then you can stay in stocks for much longer.

I'm not an expert, and only know the basics. It still seems a bit scary to have your retirement so close and your money in more volatile investments.

Crap, somehow I read and my comprehension was not great. I see you've got this covered. Ignore me.

[Zarathud]

Yes, annuities aren’t great unless you need the protection due to age. You’re basically loaning the money out to a financial institution.

[Isgrimnur]

Same as any savings product at a bank or credit union. We use your deposits to fund loans.

[GreenGoo]

Same as any savings product at a bank or credit union. We use your deposits to fund loans.

With the low interest rates and high fees, not only are they using your money to make money, they want you to pay them for the privilege. Bank accounts are such a scam these days.

Ugh.

[Isgrimnur]

As someone currently dealing with technical issues with our fee changes, I have negative feelings about said things.

[Kraken]

Trump inherits a healthy economy and will get credit when Americans start to feel it.

Donald Trump, who made criticizing high prices a campaign mantra as voters struggle with the lingering effects of 2022′s post-pandemic inflation spike, is set to take office with an economy that experts agree is healthy. All the key data points ― notably inflation, which is nearly back down to normal — are trending in the right direction.

But many Americans have yet to feel the improvements in their own finances. Although wages have grown faster than inflation since early 2023, economists said it’s going to take more time for that extra pay to offset those higher costs.
...
“The economy is performing exceptionally well, but nobody believes it, and they’re not going to for a while, until [the pain of] having to pay those higher prices fades away. And it will fade. It’s fading already,” said Mark Zandi, chief economist at economics and research consulting firm Moody’s Analytics.

“Kind of the dark irony is maybe President Trump’s going to get the credit here because, if everything sticks to script and the economy hangs reasonably well together, 12 months from now people are going to feel a lot better,” he continued. “And this simply had nothing to do with President Trump.”

Am I the only one rooting for bad economic news now? As someone soon to be living on Social Security and retirement savings, my personal finances are somewhat insulated from prevailing economic winds. I want trump's economy to start crumbling before the midterms.

[LordMortis]

The economy is performing exceptionally well, but nobody believes it

And the lies that will follow...

[geezer]

Trump inherits a healthy economy and will get credit when Americans start to feel it.

Donald Trump, who made criticizing high prices a campaign mantra as voters struggle with the lingering effects of 2022′s post-pandemic inflation spike, is set to take office with an economy that experts agree is healthy. All the key data points ― notably inflation, which is nearly back down to normal — are trending in the right direction.

But many Americans have yet to feel the improvements in their own finances. Although wages have grown faster than inflation since early 2023, economists said it’s going to take more time for that extra pay to offset those higher costs.
...
“The economy is performing exceptionally well, but nobody believes it, and they’re not going to for a while, until [the pain of] having to pay those higher prices fades away. And it will fade. It’s fading already,” said Mark Zandi, chief economist at economics and research consulting firm Moody’s Analytics.

“Kind of the dark irony is maybe President Trump’s going to get the credit here because, if everything sticks to script and the economy hangs reasonably well together, 12 months from now people are going to feel a lot better,” he continued. “And this simply had nothing to do with President Trump.”

Am I the only one rooting for bad economic news now? As someone soon to be living on Social Security and retirement savings, my personal finances are somewhat insulated from prevailing economic winds. I want trump's economy to start crumbling before the midterms.

I just can't bring myself to feel that way. Emotionally I want Trumpers to suffer for the suffering they have and will cause other people, but once I think about it? No, I can't actually get down with that. And frankly, even if tariffs caused an immediate 20% rise in the cost of everything, they'd still defend Trump / blame liberals somehow. But will there be a little schadenfreude in my head? yeah. But I don't love it about myself.

[LordMortis]

But will there be a little schadenfreude in my head? yeah. But I don't love it about myself.

This is me. Exactly what I hate becoming more of a part of me. Do not want.

[Isgrimnur]

I’m still waiting for the next housing collapse. But then if there’s nobody to build them…

[geezer]

But will there be a little schadenfreude in my head? yeah. But I don't love it about myself.

This is me. Exactly what I hate becoming more of a part of me. Do not want.

Yeah, it sucks.

[Blackhawk]

Am I the only one rooting for bad economic news now? As someone soon to be living on Social Security and retirement savings, my personal finances are somewhat insulated from prevailing economic winds. I want trump's economy to start crumbling before the midterms.

Insulating my personal finances doesn't help when the prices spike and Social Security's annual COLA doesn't keep pace - and is probably a target itself.