i have been gambling free for a few months now and still have a larger loan to pay off.
Generally I am doing well so far and can cover all FIx costs as well as the loan in the month.
But now it is so that I could pay off this loan faster if I would pay off my investments (ETF, Crypto, etc..) and thus shorten the term from the loan something.
Investing in "relatively" safe investments like a "World ETF" is always said to be a good thing, especially when you are quite young. But if I would pay out everything now, it would be somehow a strange feeling in me.
I would like to hear this feeling from you guys here, if anyone knows it.
How is it to invest nothing for a few years on the stock market or various other value investments?
It's so difficult to make the right decision, since everything is currently pretty much in the red anyway due to inflation and so...
I don't really know how to interpret your question now...?
How should it be?
I invest nothing in the stock market, and life is quite bearable I must say😂
Yes but isn't that also a kind of "missing out" presented as a feeling?
I can not really imagine this life without investing his finances, that's the point.
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Anonym
Former Member
Game free time - how is it NOT to invest?
11th May. 2023, at 02:05 pm CEST#4
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table1 wrote on 11/05/2023 at 13:03: Hello everyone,
i've been game free for a few months now and still have a larger loan to pay off.
Generally I am doing well so far and can cover all FIx costs as well as the loan in the month.
But now it is so that I could pay off this loan faster if I would pay off my investments (ETF, Crypto, etc..) and thus shorten the term from the loan a bit.
Investing in "relatively" safe investments like a "World ETF" is always said to be a good thing, especially when you are quite young. But if I would pay out everything now, it would be somehow a strange feeling in me.
I would like to hear this feeling from you guys here, if anyone knows it.
How is it to invest nothing for a few years on the stock market or various other value investments?
It's so difficult to make the right decision, since everything is currently pretty much in the red anyway due to inflation and so...
I look forward to your experiences.
It's not bad to take a break with the savings rates. Be glad that you have been able to save something so far. I would also make it dependent on your future market expectations. If you expect the market to go sideways or even fall in the near future, there's nothing to stop you. How long do you want to hold everything anyway? Exit strategy is always more important than entry.
If you can pay your monthly expenses, then leave your savings/investments alone. Especially since inflation is making your credit cheaper and cheaper anyway, so to speak.
You would still not be able to pay off the loan completely. In any case, I would find it better to have a little bit on the high side. As long as you can pay the loan installments, everything is fine.
I invest in my safe, everything what remains wanders there purely...is already a beautiful Sümmchen.The advantage is, if I need urgently times a larger sum have the immediately at hand.
upola wrote on 11.05.2023 at 14:30: I invest in my safe, everything what remains wanders there purely...is already a beautiful Sümmchen.The advantage is, if I urgently times a larger sum need have the same at hand.
Why should you save something that banks can simply print?
In my opinion one should invest in companies (for beginners ETF are suitable) and at the same time as a hedge against fluctuations one should invest a part in tangible assets that do not come from the printing press.
It is important to note that hedging creates opportunity costs. You lose the return you would get on the stock market if you had not invested the money in real assets.
table1 wrote on 11/05/2023 at 13:03: Hello everyone,
i've been game free for a few months now and still have a larger loan to pay off.
Generally I am doing well so far and can cover all FIx costs as well as the loan in the month.
But now it is so that I could pay off this loan faster if I would pay off my investments (ETF, Crypto, etc..) and thus shorten the term from the loan a bit.
Investing in "relatively" safe investments like a "World ETF" is always said to be a good thing, especially when you are quite young. But if I would pay out everything now, it would be somehow a strange feeling in me.
I would like to hear this feeling from you guys here, if anyone knows it.
How is it to invest nothing for a few years on the stock market or various other value investments?
It's so difficult to make the right decision, since everything is currently pretty much in the red anyway due to inflation and so...
I look forward to your experiences.
In my opinion, it's a big mistake that many investors make these days "selling my investments today and then buying back in the future when things are better." I am not a financial advisor, or rather only my own - and I would hold the investments if I believe that they will develop positively.
But it also depends on the individual case - how high are the interest rates in the loan agreement, how much capital do you have left to live on, is there a Risk that you will close the portfolio and gamble the money away - etc.?
I buy shares only if I am 100% convinced that this company will grow faster than the world market.
And even that has often gone wrong and many purchased shares are now in the red.
I would not sell them either, otherwise I would bite myself in the butt if they were so high again at some point that I would be in profit.
In the end, I feel that buying individual stocks is like gambling - you bet that you are smarter than the market and that the stock will grow faster than an MSCI All Country World ETF.
Do you want retirement savings, or do you want to gamble - the question was pretty easy for me to answer, so now I only buy ETF shares, because every bet also involves risk.
I don't invest either. An investment involves a certain Risk factor, which is paid back with interest. The best investment is still your own property. You only have to pay property tax + monthly service charges. If you consider that the rents are very high, then you save a lot. Unfortunately, I do not own a property and that will not change in the next few years. However, my goal is to save enough money to buy a 2/3 room apartment. Until then I just put the money aside and the smartest thing would be to invest it in a savings bank bond. However, that only makes a lot of sense if you have 50.000€ or more left for it. Even at 10.000€ that would be about 200€ p.a. and at 10 years 2.000€. Yes, 2.000€ have or not have, but for that you can forget the money for 10 years.
Matthias wrote on 11.05.2023 at 15:38:
Why should one save something that banks can simply print?
In my opinion one should invest in companies (for beginners ETF are a good choice) and at the same time as a hedge against fluctuations one should invest a part in real assets that do not come out of the printing press.
It is important to note that hedging creates opportunity costs. You lose the return you would get on the stock market if you hadn't invested the money in tangible assets.
The bank said no to me the other day when I asked them to print some money for me...
Then I also came to the conclusion that I have to save something myself...🤷
I zb know me diesbzgl simply little, and have already with my retirement savings the feeling to be ripped off... Probably that's even so😅
Falcon wrote on 11/05/2023 at 2:16 PM: If you can pay your monthly expenses, then leave your savings/investments alone. Especially since inflation is making your credit cheaper and cheaper anyway, so to speak.
You would still not be able to pay off the loan completely. In any case, I would find it better to have a little bit on the high side. As long as you can pay the loan installments, everything is fine.
That's how I personally see it, and to be honest, it's the same for me. On the one hand I have money invested, on the other hand I have a loan running.
As long as the interest on the loan is below 3%, I would not sell any assets to pay off the loan.
As you say Falke - inflation makes assets rise and loans are easier to pay back in the long run with cheaper money.
It's just important that you always have an asset that you can count against the loan.
Consumer loans, on the other hand, are hare-brained.
For example, I drive a 5-year-old VW Polo, but I don't have a loan or a leasing rate for it, even if I could afford "a Golf".
You always have to see what is important - impressing people or sleeping peacefully because you have saved money.
To me the bank said no the other day when I asked to print me some money...
Then I also came to the conclusion that I have to save something myself...🤷
I zb know me diesbzgl simply little, and have already with my retirement savings the feeling to be ripped off... Probably that's even so😅
The best thing you can do is to become financially literate yourself, otherwise I don't think it's going to get any easier in the future.
I watch the YouTube channel Finanzfluss from time to time, there is quite useful information for beginners and also for advanced learners.
If you are honest with yourself, your income and assets are the basic building blocks for everything you need in life (love aside). A week has 168 hours and if you work 40 hours per week, sleep 56 hours, there are 72 hours of free time left per week, which you have to/can divide for shopping, laundry, food, kids, hobbies and free time.
If you invest 1x per week at least 1 hour - on the way to work or on the toilet or in front of the TV for financial education, you will certainly be better off in old age than if you simply leave the topic out because you say to yourself "I can save nothing anyway".
In my opinion, financial advisors are only worthwhile for one purpose:
They should stand by you in a crisis when your portfolio is in the red and keep you from selling everything.
Money is made in crises - investing broadly in the stock market during crises is, in my opinion, the most profitable investment. Again: This is not financial advice - it is my personal opinion on the subject!
Sorry, my previous reply doesn't make much sense. I didn't read that you were thinking about paying it off. I would not do that, and rather continue to pay off the loan normally.
Matthias has already mentioned many good points, which I also see.
Maybe one more important general Tip for investing: Always make a plan in advance at which target levels you want to sell. What do you do if the portfolio totally crashes within days? Play through all eventualities in advance so as not to react too emotionally in a crash. The emotions come with a plan, but you are able to make rational decisions, provided you stick to your script. Without a plan, you as a private investor in the stock market are a shipwrecked man without a life jacket, and are tossed back and forth by the sea (market).
Matthias wrote on 11.05.2023 at 15:50:
That's how I personally see it too and to be honest it's the same for me. On the one hand I have money invested, on the other hand I have a loan running.
As long as the interest on the loan is below 3%, there is no way I would sell any assets to pay off the loan.
As you say Falke - inflation makes assets rise and loans are easier to pay back in the long run with cheaper money.
It's just important that you always have an asset that you can count against the loan.
Consumer loans, on the other hand, are hare-brained.
For example, I drive a 5-year-old VW Polo, but I don't have a loan or a leasing rate for it, even if I could afford "a Golf".
You always have to see what is important - impressing people or sleeping peacefully because you have saved money.
Yes, I totally agree with you. Tangible assets and investments in companies are the only protection against a loss, especially in times of inflation. I would never let large sums of money sit in a bank account.
Most people think that financial freedom means earning as much money as possible. But that is not quite true. For example, I have only the most necessary contracts such as rent, electricity, internet, etc.. But I don't have a cell phone contract, I have a credit basis, no unnecessary insurances or building savings, where you almost always get out badly and at the moment I don't even have a car, because I live in a big city and simply don't need it.
And since I am quite educated in matters of finance, it was already clear to me at the very beginning of the Corona measures that this can only end in inflation. You only had to look at how many trillions were pumped into the system and the bubble was already as big as the moon. So I took the right steps in time and got out quite well.
From my point of view, the most important thing is to reduce fixed costs as much as possible. Of course, without losing quality of life. Everyone has to look at what is important to them individually and what they can do without. But, I'm sure that you could find savings in almost everyone, which you are not even aware of and therefore no one would miss. And be it only that one is registered with Netflix, Amazon Prime and Disney+ at the same time and pays monthly or that one would get the same car Insurance much cheaper somewhere else.
And I'm anything but frugal and like to spend a lot of money on travel, for example, and I don't look at the price when I eat out either. But, I also don't really rely on getting XY amount in each month because my expenses are XY. I know people who don't earn that bad, but have so many contracts and fixed costs that they go to work every time with beads of sweat and don't dare say anything because the fear of losing their job is omnipresent.
And credits can be quite advantageous, if one uses them correctly. An acquaintance of mine has 8 condominiums, rents them out and finances the next apartment again with a loan, which is covered by the other apartments and thus creates liquidity. He started with one apartment and built up slowly. He himself lives normally on rent.
What I have already lost by gambling, however, is on another sheet. But have stopped completely for some time.
Game free time - how is it NOT to invest?
Nobody has liked this post so far
i have been gambling free for a few months now and still have a larger loan to pay off.
Generally I am doing well so far and can cover all FIx costs as well as the loan in the month.
But now it is so that I could pay off this loan faster if I would pay off my investments (ETF, Crypto, etc..) and thus shorten the term from the loan something.
Investing in "relatively" safe investments like a "World ETF" is always said to be a good thing, especially when you are quite young. But if I would pay out everything now, it would be somehow a strange feeling in me.
I would like to hear this feeling from you guys here, if anyone knows it.
How is it to invest nothing for a few years on the stock market or various other value investments?
It's so difficult to make the right decision, since everything is currently pretty much in the red anyway due to inflation and so...
I look forward to your experiences.
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
I don't really know how to interpret your question now...?
How should it be?
I invest nothing in the stock market, and life is quite bearable I must say😂
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
Yes but isn't that also a kind of "missing out" presented as a feeling?
I can not really imagine this life without investing his finances, that's the point.
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
It's not bad to take a break with the savings rates. Be glad that you have been able to save something so far. I would also make it dependent on your future market expectations. If you expect the market to go sideways or even fall in the near future, there's nothing to stop you. How long do you want to hold everything anyway? Exit strategy is always more important than entry.
This post has been translated automatically
Game free time - how is it NOT to invest?
Liked this post:
Matthias
You would still not be able to pay off the loan completely. In any case, I would find it better to have a little bit on the high side. As long as you can pay the loan installments, everything is fine.
This post has been translated automatically
Game free time - how is it NOT to invest?
Liked this post:
chilliy
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
Why should you save something that banks can simply print?
In my opinion one should invest in companies (for beginners ETF are suitable) and at the same time as a hedge against fluctuations one should invest a part in tangible assets that do not come from the printing press.
It is important to note that hedging creates opportunity costs. You lose the return you would get on the stock market if you had not invested the money in real assets.
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
In my opinion, it's a big mistake that many investors make these days "selling my investments today and then buying back in the future when things are better." I am not a financial advisor, or rather only my own - and I would hold the investments if I believe that they will develop positively.
But it also depends on the individual case - how high are the interest rates in the loan agreement, how much capital do you have left to live on, is there a Risk that you will close the portfolio and gamble the money away - etc.?
I buy shares only if I am 100% convinced that this company will grow faster than the world market.
And even that has often gone wrong and many purchased shares are now in the red.
I would not sell them either, otherwise I would bite myself in the butt if they were so high again at some point that I would be in profit.
In the end, I feel that buying individual stocks is like gambling - you bet that you are smarter than the market and that the stock will grow faster than an MSCI All Country World ETF.
Do you want retirement savings, or do you want to gamble - the question was pretty easy for me to answer, so now I only buy ETF shares, because every bet also involves risk.
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
The bank said no to me the other day when I asked them to print some money for me...
Then I also came to the conclusion that I have to save something myself...🤷
I zb know me diesbzgl simply little, and have already with my retirement savings the feeling to be ripped off... Probably that's even so😅
This post has been translated automatically
Game free time - how is it NOT to invest?
Liked this post: Anonym,
Falke
That's how I personally see it, and to be honest, it's the same for me. On the one hand I have money invested, on the other hand I have a loan running.
As long as the interest on the loan is below 3%, I would not sell any assets to pay off the loan.
As you say Falke - inflation makes assets rise and loans are easier to pay back in the long run with cheaper money.
It's just important that you always have an asset that you can count against the loan.
Consumer loans, on the other hand, are hare-brained.
For example, I drive a 5-year-old VW Polo, but I don't have a loan or a leasing rate for it, even if I could afford "a Golf".
You always have to see what is important - impressing people or sleeping peacefully because you have saved money.
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
The best thing you can do is to become financially literate yourself, otherwise I don't think it's going to get any easier in the future.
I watch the YouTube channel Finanzfluss from time to time, there is quite useful information for beginners and also for advanced learners.
If you are honest with yourself, your income and assets are the basic building blocks for everything you need in life (love aside). A week has 168 hours and if you work 40 hours per week, sleep 56 hours, there are 72 hours of free time left per week, which you have to/can divide for shopping, laundry, food, kids, hobbies and free time.
If you invest 1x per week at least 1 hour - on the way to work or on the toilet or in front of the TV for financial education, you will certainly be better off in old age than if you simply leave the topic out because you say to yourself "I can save nothing anyway".
In my opinion, financial advisors are only worthwhile for one purpose:
They should stand by you in a crisis when your portfolio is in the red and keep you from selling everything.
Money is made in crises - investing broadly in the stock market during crises is, in my opinion, the most profitable investment.
Again: This is not financial advice - it is my personal opinion on the subject!
This post has been translated automatically
Game free time - how is it NOT to invest?
Liked this post:
Langhans
Mainly in the electronic field.
Have so c.a. 4000 vinyls ( am still cataloging )
From 1990 to the 2000s.
So 1600 pcs. I have already entered on Discogs and the current value is in the maximum range at 13,500 €
The currently most expensive is around 280 €.
Since I have maintained them all and will also constantly expand my collections (labels) is of course also a value investment
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Game free time - how is it NOT to invest?
Liked this post:
Matthias
Matthias has already mentioned many good points, which I also see.
Maybe one more important general Tip for investing: Always make a plan in advance at which target levels you want to sell. What do you do if the portfolio totally crashes within days? Play through all eventualities in advance so as not to react too emotionally in a crash. The emotions come with a plan, but you are able to make rational decisions, provided you stick to your script. Without a plan, you as a private investor in the stock market are a shipwrecked man without a life jacket, and are tossed back and forth by the sea (market).
This post has been translated automatically
Game free time - how is it NOT to invest?
Nobody has liked this post so far
Yes, I totally agree with you. Tangible assets and investments in companies are the only protection against a loss, especially in times of inflation. I would never let large sums of money sit in a bank account.
Most people think that financial freedom means earning as much money as possible. But that is not quite true. For example, I have only the most necessary contracts such as rent, electricity, internet, etc.. But I don't have a cell phone contract, I have a credit basis, no unnecessary insurances or building savings, where you almost always get out badly and at the moment I don't even have a car, because I live in a big city and simply don't need it.
And since I am quite educated in matters of finance, it was already clear to me at the very beginning of the Corona measures that this can only end in inflation. You only had to look at how many trillions were pumped into the system and the bubble was already as big as the moon. So I took the right steps in time and got out quite well.
From my point of view, the most important thing is to reduce fixed costs as much as possible. Of course, without losing quality of life. Everyone has to look at what is important to them individually and what they can do without. But, I'm sure that you could find savings in almost everyone, which you are not even aware of and therefore no one would miss. And be it only that one is registered with Netflix, Amazon Prime and Disney+ at the same time and pays monthly or that one would get the same car Insurance much cheaper somewhere else.
And I'm anything but frugal and like to spend a lot of money on travel, for example, and I don't look at the price when I eat out either. But, I also don't really rely on getting XY amount in each month because my expenses are XY. I know people who don't earn that bad, but have so many contracts and fixed costs that they go to work every time with beads of sweat and don't dare say anything because the fear of losing their job is omnipresent.
And credits can be quite advantageous, if one uses them correctly. An acquaintance of mine has 8 condominiums, rents them out and finances the next apartment again with a loan, which is covered by the other apartments and thus creates liquidity. He started with one apartment and built up slowly. He himself lives normally on rent.
What I have already lost by gambling, however, is on another sheet. But have stopped completely for some time.
This post has been translated automatically