Investing General Discussion

Borzak

Borzak

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Just came into a non trivial amount of money and guess I'm just going to stick it a pretty plain index etf or two. The last 35 years I've made more money than my salary outside of the market even though I'm invested in it. The days of investing in a private company again are gone for me at least. Boring but safe I guess, sucks. Some of the companies I've invested into in the past their second or third generation has gotten the AI bug but nobody knows what it is going to do for them, especially considering a large portion is manual labor and 100% of the work is different, nothing "stacks" so to speak - which is what we call it when you can make multiples of the same item. They don't have any of that.
 
Strifen

Strifen

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Strifen said:
Ive been in uranium stocks since 2014.

There are some nuclear and uranium plays that are doing very well, many of these I am well up 10x, electricity will be the bottleneck to AI, China is leaps ahead with how much electricity they have available and are adding, the power grid in the USA is going to be under major strain going forward large part due to AI and Crypto. Big tech is moving in with capital to secure nuclear power generation, trump signed 3 exec orders to speed up its development.

CCJ, UEC, DNN, UUUU - my top uranium plays

OKLO, SMR, BWXT - reactor developers

LEU, LBTR, ASPI - fuel services
Click to expand...

Nuclear and uranium is the hot space to be in right now and will likely continue on as AI infrastructure is constrained by electricity demand. Most of these names are up 40-50% since I made this post a month ago.

In March, Nvidia announced that its next-generation Rubin Ultra NVL576 GPUs will require racks supporting 600 kilowatts of power by 2027, meaning that a single rack the size of a domestic refrigerator would use as much power as a 500-home subdivision.

Now imagine a football field sized data centre full of these racks, and hundreds of them being built all over the world. Electricity needs in the 1GW-5GW+ range for a single building. The UK as a random example uses ~35GW of electricity, so the world is going to be adding multiple new first world countries in electricity demand over the coming years purely from AI data centres.

Big tech has realized their best bet in the long run is to power this with energy dense 24/7 nuclear power. They will build the nuclear power, SMR, or large scale conventional and co-locate it right next to the data centres by passing the grid entirely.

Ex-energy secretary Rick Perry is developing a massive 11GW data complex named the “The President Donald J. Trump Advanced Energy and Intelligence Campus” that will have 4 AP1000 reactors on site, permits are already progressing with the NRC and help of Westinghouse.

 
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Sanrith Descartes

Sanrith Descartes

I was forced to self-deport from the /pol thread
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Borzak said:
Just came into a non trivial amount of money and guess I'm just going to stick it a pretty plain index etf or two. The last 35 years I've made more money than my salary outside of the market even though I'm invested in it. The days of investing in a private company again are gone for me at least. Boring but safe I guess, sucks. Some of the companies I've invested into in the past their second or third generation has gotten the AI bug but nobody knows what it is going to do for them, especially considering a large portion is manual labor and 100% of the work is different, nothing "stacks" so to speak - which is what we call it when you can make multiples of the same item. They don't have any of that.
Click to expand...
SPY and/or QQQ generally outperform most everything over a long enough time horizon. No matter how much I look for something new and shiny, the numbers always point back to SPY/QQQ.
 
Cad

Cad

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Borzak said:
Just came into a non trivial amount of money and guess I'm just going to stick it a pretty plain index etf or two. The last 35 years I've made more money than my salary outside of the market even though I'm invested in it. The days of investing in a private company again are gone for me at least. Boring but safe I guess, sucks. Some of the companies I've invested into in the past their second or third generation has gotten the AI bug but nobody knows what it is going to do for them, especially considering a large portion is manual labor and 100% of the work is different, nothing "stacks" so to speak - which is what we call it when you can make multiples of the same item. They don't have any of that.
Click to expand...
I use Vanguard so I split about 70/30 between VTI and VGT.
 
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Synj

Synj

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Bros,

Sorry to be all reddit about this, but I honestly trust you min/maxers more than I trust a financial advisor.

I was pretty heavy in some individual stocks, and my growth and tech had gotten a little out of hand, so I'm finalizing a reallocation and want some advice.

I'm 51 and have a high-risk tolerance, no debt outside of mortgage, good income but I'm single dad and not a ton of cash after expenses and investments. I don't want bonds or some dumb shit.

This is what I have in my Rollover IRA:
  • VOO — 32.5%
  • SPYI — 8.7%
  • SCHD — 8.7%
  • QQQI — 8.7%
  • FSPTX — 10.8%
  • FBGRX — 10.8%
  • NVDA — 7.2%
  • IBIT — 2.9%
  • ETHA — 1.7%
  • VXUS — 8.0%
401k is adding $1800/month direct to VOO.

I fucked up and never really got into a ROTH IRA, but my plan is to max it out yearly in SPMO.

I also have about $100k in RSUs that will start vesting here soon and my plan is to potentially add some more income through a taxable in BTCI or BLOX because the company stock feels like dead money to me and I could use the income.

Any thoughts or help would be appreciated, and be fucking nice or I will thumbs down your reply.
 
Sanrith Descartes

Sanrith Descartes

I was forced to self-deport from the /pol thread
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Synj said:
Bros,

Sorry to be all reddit about this, but I honestly trust you min/maxers more than I trust a financial advisor.

I was pretty heavy in some individual stocks, and my growth and tech had gotten a little out of hand, so I'm finalizing a reallocation and want some advice.

I'm 51 and have a high-risk tolerance, no debt outside of mortgage, good income but I'm single dad and not a ton of cash after expenses and investments. I don't want bonds or some dumb shit.

This is what I have in my Rollover IRA:
  • VOO — 32.5%
  • SPYI — 8.7%
  • SCHD — 8.7%
  • QQQI — 8.7%
  • FSPTX — 10.8%
  • FBGRX — 10.8%
  • NVDA — 7.2%
  • IBIT — 2.9%
  • ETHA — 1.7%
  • VXUS — 8.0%
401k is adding $1800/month direct to VOO.

I fucked up and never really got into a ROTH IRA, but my plan is to max it out yearly in SPMO.

I also have about $100k in RSUs that will start vesting here soon and my plan is to potentially add some more income through a taxable in BTCI or BLOX because the company stock feels like dead money to me and I could use the income.

Any thoughts or help would be appreciated, and be fucking nice or I will thumbs down your reply.
Click to expand...
Speaking strictly for myself, I do not like any "XUS" funds. I feel over a long time line the US outperforms the world and I trust the US stock market more than the Chins and Euros.

The more I research over the years, the more I find that outperforming SPY/QQQ is close to impossible. The key is "over a long timeline".
 
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Furry

Furry

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Synj said:
Bros,

Sorry to be all reddit about this, but I honestly trust you min/maxers more than I trust a financial advisor.

I was pretty heavy in some individual stocks, and my growth and tech had gotten a little out of hand, so I'm finalizing a reallocation and want some advice.

I'm 51 and have a high-risk tolerance, no debt outside of mortgage, good income but I'm single dad and not a ton of cash after expenses and investments. I don't want bonds or some dumb shit.

This is what I have in my Rollover IRA:
  • VOO — 32.5%
  • SPYI — 8.7%
  • SCHD — 8.7%
  • QQQI — 8.7%
  • FSPTX — 10.8%
  • FBGRX — 10.8%
  • NVDA — 7.2%
  • IBIT — 2.9%
  • ETHA — 1.7%
  • VXUS — 8.0%
401k is adding $1800/month direct to VOO.

I fucked up and never really got into a ROTH IRA, but my plan is to max it out yearly in SPMO.

I also have about $100k in RSUs that will start vesting here soon and my plan is to potentially add some more income through a taxable in BTCI or BLOX because the company stock feels like dead money to me and I could use the income.

Any thoughts or help would be appreciated, and be fucking nice or I will thumbs down your reply.
Click to expand...
That allocation seems reasonable enough to me. I’d probably be a little heavier in S&P but that’s just preference.. As for the Roth, if you haven’t opened one that should be priority #1. 401k match>Roth>Max 401k> Brokerage.

Most of the work of building for retirement is just consistently investing and having the patience to collect the rewards.
 
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Synj

Synj

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Sanrith Descartes said:
Speaking strictly for myself, I do not like any "XUS" funds. I feel over a long time line the US outperforms the world and I trust the US stock market more than the Chins and Euros.

The more I research over the years, the more I find that outperforming SPY/QQQ is close to impossible. The key is "over a long timeline".
Click to expand...
I can be talked out of VXUS. I’ve read and believe that just holding SPY is basically holding international anyway now. Would you redirect that 8% back to VOO or growth or what? 40% VOO makes a pretty stable core.
 
Synj

Synj

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Furry said:
That allocation seems reasonable enough to me. I’d probably be a little heavier in S&P but that’s just preference.. As for the Roth, if you haven’t opened one that should be priority #1. 401k match>Roth>Max 401k> Brokerage.

Most of the work of building for retirement is just consistently investing and having the patience to collect the rewards.
Click to expand...
Fsptx/fbgrx and nvda (404 shares at $14) have been really good to me and hard to move on from. Up until recently I was like 40% fsptx/fbgrx 12% nvda and only 10% voo 😅

Working on the Roth, my divorce did a real number on my finances but I’ve scraped and clawed my way back and I’m in good shape for the future (but still have some work to do).
 
Furry

Furry

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Synj said:
Fsptx/fbgrx and nvda (404 shares at $14) have been really good to me and hard to move on from. Up until recently I was like 40% fsptx/fbgrx 12% nvda and only 10% voo 😅

Working on the Roth, my divorce did a real number on my finances but I’ve scraped and clawed my way back and I’m in good shape for the future (but still have some work to do).
Click to expand...
There’s a five year vesting period on a Roth, so open one today even if it’s just to slap 5$ in to sit as cash. It’ll open up some more possibilities early on even if you can’t really invest yet.
 
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Synj

Synj

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Furry said:
There’s a five year vesting period on a Roth, so open one today even if it’s just to slap 5$ in to sit as cash. It’ll open up some more possibilities early on even if you can’t really invest yet.
Click to expand...
Yeah, I maxed it for the year already, just lttp unfortunately but it’s just gonna have to do.

Any thoughts on the income/dividend bucket? I don’t have any experience with them but going to just drip them in my rollover.
 
Furry

Furry

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Synj said:
Yeah, I maxed it for the year already, just lttp unfortunately but it’s just gonna have to do.

Any thoughts on the income/dividend bucket? I don’t have any experience with them but going to just drip them in my rollover.
Click to expand...
Dividend stocks sound nice on paper but underperform in our current reality. I still hold some ETFs focused on that. I think it’s fine if you keep them a smaller share, as I don’t like keeping all my eggs in one basket, even if historically the S&P is the best basket. When people mess up in investing it’s usually because they do something really stupid/risky, and plenty of people have given examples of the really stupid investments that financial advisors have pushed them or relatives into.

I’m usually at least half S&P, a solid block of TechETF, and then the last 10-15% or so is a mix of the others.
 
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Sanrith Descartes

Sanrith Descartes

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Synj said:
I can be talked out of VXUS. I’ve read and believe that just holding SPY is basically holding international anyway now. Would you redirect that 8% back to VOO or growth or what? 40% VOO makes a pretty stable core.
Click to expand...
My advice is to look at the basket of holdings of the various indexes you are interested in. The companies are gonna be close to the same since they are cap weighted. The differences will be the number of stocks being tracked and their weighting (especially at the top).

Example, the S&P 500, S&P 100, S&P 50 and S&P 25 index ETFs all have the same top 10 in them (obviously). Their weights are each different though.

If you want to go basic then I would go 75% VOO and 25% QQQ. But you could also go 50/50 or even 100% VOO and no QQQ and the end result when you retire will "probably" be very similar.
 
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Sanrith Descartes

Sanrith Descartes

I was forced to self-deport from the /pol thread
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Synj said:
Yeah, I maxed it for the year already, just lttp unfortunately but it’s just gonna have to do.

Any thoughts on the income/dividend bucket? I don’t have any experience with them but going to just drip them in my rollover.
Click to expand...
Keep in mind with the Roth/Traditional route. You are trying to anticipate what your future tax rate will be in retirement vs what it is today. If you feel it will be lower in retirement than go traditional. If you think it will be higher then go Roth. You are either paying taxes on the contribution today (Roth) or on the money when you take it out (traditional).
 
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Furry

Furry

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Sanrith Descartes said:
Keep in mind with the Roth/Traditional route. You are trying to anticipate what your future tax rate will be in retirement vs what it is today. If you feel it will be lower in retirement than go traditional. If you think it will be higher then go Roth. You are either paying taxes on the contribution today (Roth) or on the money when you take it out (traditional).
Click to expand...

For younger people this will almost never be the case. For someone older and poorer perhaps. For someone with a strong income Roth is incredible. Even if your qualifying statement is likely to be true, they can probably still exploit the rollover mechanic to come out ahead on taxes.

That said, I can understand recommending against Roth for those not financially motivated enough to do these things, who are making modest enough income that this is likely to be true. If he’s posting here, he’s unlikely to fall in this category imo, especially if he’s maxing his 401k and Roth already.
 
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Sanrith Descartes

Sanrith Descartes

I was forced to self-deport from the /pol thread
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Furry said:
For younger people this will almost never be the case. For someone older and poorer perhaps. For someone with a strong income Roth is incredible. Even if your qualifying statement is likely to be true, they can probably still exploit the rollover mechanic to come out ahead on taxes.

That said, I can understand recommending against Roth for those not financially motivated enough to do these things, who are making modest enough income that this is likely to be true. If he’s posting here, he’s unlikely to fall in this category imo, especially if he’s maxing his 401k and Roth already.
Click to expand...
The real unknown is Congress. Depending on your age, who the fuck knows what tax brackets will be like in 20 or 30 years.
 
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Synj

Synj

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Yeah, Roth will be max’d each year from here on out. Next goal is to try and max 401k. My rollover is pretty substantial, I had a bunch of mag7 that did well for me but I can’t really contribute more to my rollover which is why I added the income funds to maybe try and increase my positions within the rollover. Additionally, my rsus are going to a taxable account after maxing Roth to drum up some additional income through some SPYI/ULTY/BTCI. My rsus are basically dead money and I don’t want to be entirely concentrated in my company. So the income will help me add to my 401k even if I have some NAV erosion. It’s not a huge position and it’s a bit robbing Peter to pay Paul but I think it can work and I’ll keep making RSUs every year so I have a steady vesting schedule from here on out to sell and pump my taxable brokerage.
 
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