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Originally Posted by Woody38
100% invested in stocks and have always been even though financial advisors said I need bonds which they say yau cannot lose money on. Apparently they only refer to bonds like airports. municipals, ports and the like. All I can say is that the measley amount I invested in stocks has provided a great retirement and still continues to grow despite the sum withdrawn every year. Also own real estate and in my mind real estate is not a good investment.
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Agreed. The old saw about 40% of your portfolio being in bonds doesn't do anything for me. In the Obama years we were overweight utilities because we needed some reliable income. Since bonds were paying 1%, and utilities were at 3-4%, utilities became growth stocks for awhile. Of course, you can buy low grade bonds that pay more, but then you're into risky stuff and probably better off with Blue chip stocks. Real estate can be OK if you want to hold it for 30 years and collect rents after the mortgage is paid. The key here is leverage. The tenants pay the principal, interest, taxes and maintenance while you build equity. It may take a few years to learn to be a profit making landlord. Some RE investors never learn that. To me, because of the long time frames, RE is something to start when you're 30, not 60.