caymanbrac12
Market Tracker
- Reaction score
- 9
Okay folks with the market volatility and all the contradictory info what does one do? My Tsp is maybe 5% of my total cash net worth for my family. My father who used this site wht00ss entrusted me to make appropriate decisions as a trustee.
That being said to me the tsp is more play money (my Mother being in the CSRS helps that idea) but money nonetheless and I hate losses whether $1 or 300k.
The way I look at it everyone has to have a well organized plan that you stick too but flexible enough to change given extraordinary circumstances.
I treat the Tsp with maximum risk/reward and that cuts both ways but one thing I have learned about the serious money - your F$ck You money not to be too crude is I treat my serious money funds, stock everything as simple as possible. I determine my loss tolerance and set my stops accordingly. You can't stop out of a fund or tsp like a stock but if it crosses your tolerance loss line you are out till the dust settles. That's it. My old man made me read the charting books and how to analyze stocks but CP is still the thing for me and my individual situation and goals and to reiterate once that stop-loss is reached no emotion is involved the decision is made. When the dust settles I make my move.
I've shorted using some of Doug Kass methods and made significant money on the down side with the ultrashort etc. recently but I almost feel like I want to take a shower after making money shorting the market but you do what you have to do.
Even with some very knowledgeable people telling me to look for 12600 on the Dow ( but who the hell really knows?) I'm long the TSP 100% because it is money I can risk. For people who count on their TSP totally setting stops to me is a no brainer. No one can pick a top or a bottom but they can certainly limit their losses to a reasonable degree (unless some financial nuke happens and we are all in the same boat at that point.)
But my plan is set for the real dough and it's that simple for me. Know you loss tolerance and act accordingly no matter what you net worth.
If you follow the herd by watching everyone's trades you get screwed every time. Set you own goals and do what works for you relative to your ability to absorb risk and don't count on other people to make your decisions for you. There is nothing wrong with getting advice but if you do IFT's do your homework and take responsibility.
As I said before just my humble opinion.
That being said to me the tsp is more play money (my Mother being in the CSRS helps that idea) but money nonetheless and I hate losses whether $1 or 300k.
The way I look at it everyone has to have a well organized plan that you stick too but flexible enough to change given extraordinary circumstances.
I treat the Tsp with maximum risk/reward and that cuts both ways but one thing I have learned about the serious money - your F$ck You money not to be too crude is I treat my serious money funds, stock everything as simple as possible. I determine my loss tolerance and set my stops accordingly. You can't stop out of a fund or tsp like a stock but if it crosses your tolerance loss line you are out till the dust settles. That's it. My old man made me read the charting books and how to analyze stocks but CP is still the thing for me and my individual situation and goals and to reiterate once that stop-loss is reached no emotion is involved the decision is made. When the dust settles I make my move.
I've shorted using some of Doug Kass methods and made significant money on the down side with the ultrashort etc. recently but I almost feel like I want to take a shower after making money shorting the market but you do what you have to do.
Even with some very knowledgeable people telling me to look for 12600 on the Dow ( but who the hell really knows?) I'm long the TSP 100% because it is money I can risk. For people who count on their TSP totally setting stops to me is a no brainer. No one can pick a top or a bottom but they can certainly limit their losses to a reasonable degree (unless some financial nuke happens and we are all in the same boat at that point.)
But my plan is set for the real dough and it's that simple for me. Know you loss tolerance and act accordingly no matter what you net worth.
If you follow the herd by watching everyone's trades you get screwed every time. Set you own goals and do what works for you relative to your ability to absorb risk and don't count on other people to make your decisions for you. There is nothing wrong with getting advice but if you do IFT's do your homework and take responsibility.
As I said before just my humble opinion.
