Everyone's been promoting investing as a source of passive income, but with a 70-hour workweek and limited financial knowledge, how can I stay on top of things? Every CZcams video says "BUY, BUY!" but when and how do I sell for profit at the right time?
Well all i know is that you cannot go wrong taking profit at near high. No one ever went broke taking a 10% loss. It's best if you consult with a fiduciary advisor to get informed buying & selling decisions
Working with a financial advisor has been a game-changer for me. They provided invaluable insights and tailored strategies that aligned perfectly with my risk tolerance and financial objectives. With their support, I've seen significant growth in my investments and gained confidence in my financial future.
The decision on when to pick an Adviser is a very personal one. I take guidance from Vivian Jean Wilhelm to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
Thank you for the information. I conducted my own research and your advisor appears to be highly skilled and knowledgeable. I've sent her an email and arranged a phone call
Every time a household name like Warren makes a big move, it instantly creates uncertainty in the markets. 75% of my $400k portfolio comprises of plummeting stocks which were once revered. Do i liquidate and bear losses or just hold on?
Well all i know is that you cannot go wrong taking profit at near high. No one ever went broke taking a 10% loss. It's best if you consult with a fiduciary advisor to get informed buying & selling decisions..
I agree, investing with the help of an advisor set me up for life. Retired with about $1.6m in stock portfolio only. I max out my 401k and have few properties. I worked hard everyday as a teacher for 32 years, and my salary was over 100k annually. Supplementing my income with stocks and alternative investments helped me achieve early retirement.
I'm cautious about giving specific recommendations since everyone's situation varies, but I've worked with *Jennifer Leigh Hickman* for years and highly recommend her. Look her up to see if she meets your criteria.
I Hit 110k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject. thanks to Brooke Miller for helping me achieve this
She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
I feel investors should be focusing on small caps stocks, and considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation.
Safest approach i feel to tackle it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown
A lot of folks downplay the role of advlsors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? i'm in dire need of proper portfolio allocation
Viviana Marisa Coelho is her name. She is regarded as a genius in her area and works for Empower Financial Services. By looking her up online, you can quickly verify her level of experience. She is well knowledgeable about financial markets.
Thank you for the lead, searched Elisse by her full name and at once spotted her consulting page, she seems highly professional having over 12 years of experience. amazing!
Its just inevitable that there's going to be peaks and troughs in the graph of economic growth or prosperity, there's never going to be one underlying cause that connects them all, embrace the opportunity, make interest, cashing up on dips.
Those calling stocks momentum a flunk aren't considering the long run. The companies themselves have not changed, it's the market that changed. Steady as it goes, and it'll regroup in weeks.
If you are not too savvy with the market, it’s the best time! just buy and hold on strong companies or best you seek out areas within sectors that can help you sustain a balance in both growth and value overtime. In certain cases, it's even wiser to speak with a smartvestor to determine options best meant for you, I personally did this, and it works pretty well..
right now I’m being counsel on renewable energy, semiconductors, Ai chips which will be hugely integral on every sectors in the coming years. an absolute power move right now.
I came across your channel through this video-case studies are incredibly valuable, and I'm eager to see more in the future! Building wealth involves establishing routines, like consistently setting aside funds at regular intervals for smart investments.
You're correct. I think the smartest way to go is to spread out your investments. By putting your money into different asset classes like bonds, real estate, and stocks from other countries, you can lower the risk if one part of the market goes bad.
That sounds like a good plan. In the past two years, working closely with a financial market specialist, I've built a six-figure diversified stock portfolio. Now, I aim to diversify even more this year.
Talking about a financial market specialist, do you consider anyone worthy of recommendations? I have about 100k to test the waters now that large cap stocks are at a discount... Thanks
NICOLE ANASTASIA PLUMLEE is her name. She is regarded as a genius in her area and works for Empower Financial Services. She’s quite known in her field, look-her up.
Buffet's move is certain to hurt market sentiment. A year ago. People bought in july sold at the September lows. Then, they kept their cash on the side lines. Missed the rally. I never had that much luck timing in the market.
@@oceansunsetak Never sell , especially a company with 2.5 billion loyal users Warren is different , he might be trying to raise cash for Boeing or just seeing a Kamala Crash For normal people, just hold great companies is best way to go
I think Buffet is doing the opposite of “just stand there.” People mix up the Index investing strategy of “do nothing” with Buffet value investing all the time for some reason. Yeah, he wants to own great business for life, but he also has to correct many of his admitted mistakes and deploy new capital.
Is it a good time to sell some stocks or hold for the long term? I'm rebalancing my $2M portfolio and want to know the best strategies for the remaining part of the year
Sell the ones that are going to go down and keep the stocks that will go up and have good dividends. Take the 60/40 approach if you can live with 10-15% annual return.
Disagree. This is classic Buffett selling behavior. He doesn’t like being negative so he dances around the real issues but keeps unloading stock. For example, when Wells Fargo was going through all its problems, Buffett kept defending them and defending them but unloaded all his stock shortly thereafter.
Yeah. He's a bit of a talker. He tells everyone what a great company it is, while he unloads their stock. He's probably going to reallocate right before the interest rates start to drop. Maybe real estate? Prices may drop soon and it's very cyclical. With regard to Apple, it's hard to tell if he sees something wrong or it's simply that it's his largest holding. The 10-Q doesn't give enough information.
Yeah apple will probably have to dump more money into semiconductors. Not just higher prices with new nodes designing and manufacturing. But also inflation has hit tsmc and with more demand for leading edge and manufacturing demand tsmc has more pricing power to increase margins by raising prices. Apple now threatend to be the biggest customer with NVIDIA set to catch up.
Even after selling half of Apple , he will still have twice as much money in Apple shares than his next leading stocks. He’s just taking money off the table for future investments. I don’t consider that a panic sell.
Buffet is likely displeased with apples share BuyBacks, it's an egregious move considering apple is already priced so high, Buffett sees the advantage of share BuyBacks when the stock is low, but not buying back when Shares are at all time highs just to boost CEOs bonuses. Selling Apple is a good move for Buffett, because likely better deals will emerge and he wants to cash available, since apples at an all-time high that's a good time to sell, and it also gives him a chance to express his displeasure with the share BuyBacks. Overall it's a good move.
Thanks for the video. It seems rather simple, if you've read about or listened to Buffett much. STOCK VALUATIONS ARE HIGH! Whether it's the Buffett Indicator or Shiller P/E they are at historic highs. That's NOT an environment Buffett likes to invest in...which is probably why he was investing in Japan and Korea. No sense in fighting the Fed. I'm sure he's content to take his 4-5% interest in Treasuries while waiting for his next move.
Buffett sold half of his Apple shares right to Tim Cook, whose company has a massive buy back. I am not selling my shares. I have other companies to sell.
Like you I own AAPL and BRK.B 😅 To be honest I wasn't happy that Warren's shop bought so much AAPL in the past. Because for me BRK.B is an investment to counterbalance my tech stocks. Now, after Warren sold half of his AAPL shares until end of June 2024 I'm relieved... 😂 because now BRK.B again is the defensive stock I once was looking for...
You can fix this situation for yourself if you wish to. Once you have a position in Berkshire figure out how much of your position is Apple, then short sell Apple by that amount. You'd essentially have a Berkshire position as if he didn't own the Apple shares.
Buffett and Berkshire have been building cash reserves for some time. He clearly doesn't see much good value in this market. Seems sensible given the economic backdrop and where valuations currently are assuming what was to be a soft landing or no landing.
Young folks like me listen to wisdom from professionals like you too, not only senior folks! Really appreciate the format and the content you make. Helped me personally a lot!
It's definitely not just for tax purposes. According to his own 'Buffett Indicator' the market is extremely overvalued. Plus, Apple's growth prospects have decreased over the past few years. He's getting ready for the next acquisition that will move the needle for Berkshire and he'll pounce once the market corrects.
@@user-vr8lu7bv2u Sure, he'll take his gains now while Apple prices is still relatively high but what about the taxes for selling? I'm sorta in that situation right now. My tech stocks has done great, but unfortunately they are in my brokerage account instead of my Roth IRA. I'm afraid of selling and having it affecting the taxes on my SS income.
Munger and Buffett have both achieved an incredible feat with Berkshire. They've turned thousands to billions, and have made a lot of people wealthy in the process. I really saw the potential of the stock market by reading Berkshire's annual letters. I recently sold my $674k apartment in the Bel Air area and I'm hoping to throw it into the stock market. I just don't want to lose everything.
Great video Rob. A few things stand out to me. As the BRK cash hoard grows larger and larger, now at $277 Billion, I think it's only going to get harder and harder to deploy this amount of capital into attractive opportunities. I know there is always a chance we get another 2008/2009 type magnitude recession and there are lots of bargains, and eventually that will happen again, but it might not be for many years. I think it is likely that when Buffett is no longer at the helm there will be some type of special dividend that is paid out because trying to manage the amount of capital they have and generate market competitive returns is going to be close to impossible with the capital they will be working with. Secondly, BRK has held a lot of cash for many many years now and wasn't really that aggressive during the COVID downturn and I remember back in 2020 Buffett didn't think valuations were that great when the S&P 500 was well under 3,000 and BRK-B was under $200. Go back and watch the 2020 meeting with him and Greg. So all that to say, I don't people should view this as some type of market timing signal.
Given what many people say about the long and severe recession to come what would you do if you dependent on that investment dividend income in the years to come. What if America becomes like Japan and goes into a 10-15 years of downtown? Japan stock market was riding high in the 80s and after it crash, it’s never come back quite the same way.
@@johnj4094 100%Agree. Retirees can't afford the sequence of returns risk. Retirees should be very conservative in their retirement accounts, Father Time is no longer your friend. Be proactive, don't just buy, hold, & pray.
@@user-ir1bl9ii1e I agree that he is likely rebalancing, but the problem is, where is the rebalancing? Holding $270b in short-term treasuries is not rebalancing. Buffett has long said he wished he could hold zero cash but has to for his insurance companies.
This is barely a much expected correction. If you could have seen the future at the end of 2021 and reinvested after the market was down 20+%. That would have moved the needle.
@@Funancialism What if the money was in IRA/ROTH? What if selling generates no taxes, or minimal taxes? What if selling is taking profits, sitting on the sidelines, and buying back in with a new higher basis?
Current Schiller PE ratio is approximately 1.725x of historical average (34.5 vs 20). Assuming earnings stay constant (big if), correction to historic average would mean a 40% reduction, which would take the current S&P from 5400 down to 3100.
The forward PE of the S&P is a much more accurate predictor than current PE, be careful of what you are looking at. Some of the biggest bull runs have happened when the S&P PE was high 30s because earnings were depressed.
@@SpaceTravel1776 The future is unpredictable but last 2 peaks in Shiller PE were in 2000 and 2007, S&P went down 30-35% in the following 2-3 years. Right now I’ve taken the gains and parked in cash at 5.28% yield waiting for a correction. Could I be wrong and miss the boat? Maybe, but it’s reassuring to see that at least Warren Buffett has the same mindset.
Warren Buffet has a different problem than most individuals. He has so much cash he can't deploy it without causing his desired security to rise, so he's long in treasuries and cash. For the rest of us poor buggers : When stocks are on sale you BUY them.
Thank you, you nailed it. People in his position make the market. People that trade in the mere 10's of billions are subject to trying to predict the market. Below that you're a spectator.
I’m retiring at the end of this year and I sold all of my stocks that were still up on Thursday and Friday (AAPL, DE, MA) as I wanted to get deeper into low cost index funds anyway. It was the right move. Holding BRK.B as it’s more of an index fund than a stock, really.
In comparison to 2008, we haven’t had a real recession directly tied to the poor performance of the economy. The recession you’re referring to was caused by a pandemic, not by money. The current markets are brewing up a very nasty and real monetary recession that is only now supposed to happen after the 17 years or so of not having one.
@@douglassmith9445 Recession is a term without a real definition, however the worldwide accepted definition is 2 quarters of dropping GDP. Since the entire year of 2020 produced GDP below the 1029 level it was certainly a recession. Thankfully a short recession. 2008 was a near depression as 9 of the next 12 quarter were below the level at the end of 2007.
@@markolmstead4709 missed out big time until the correction hits. Are you selling now or riding it out? I’m pretty sure my cash will not go down 5% next week.
Hi Rob, could it be that Warren is creating a cash hoard in anticipation of a sell off in Berkshire Hathaway share on his demise. He wants to leave his successor to have funds to buy back Berkshire stock at fire sale prices.
I'm honestly a bit nervous with this market. I harvested my new long term capital gains positions from last year. The index is hugely overweight tech, and when everyone is talking about Nvidia like a gamer was during the pandemic it made me think we've lost the plot. Especially when one day it can be down 7%, then up 7%, then down 11%. We're in a strange part of the economy where people have jobs but still can't afford to live, and it can't happen forever. Plus it seems like lowering interest rates and letting people refinance mortgages is going to be the only thing keeping the housing sector alive. If we have a drop in prices, all the people that are underwater might be stuck in very high interest loans that might not be able to be refinanced if they don't have enough equity. This is the kind of landing that if the fed makes it, the passengers will all be clapping. But I seriously doubt it.
Warren has been very clear PE opposes interest rates. So it was interest rates 1%-3% while PE's were 3%- 3.8%. Now it is interest rates 5.5%-7% while PEs are just below 3%. Thus loaning money is a real option to prefer over owning stocks.
Sage advice as always Rob. I began paring back my equity positions (booking profits for some and eliminating losers) last month and investing more in my bond funds which will benefit from lower interest rates. My TLT jumped 8% this past week alone. Also sitting on a short term portfolio of CDs and T-bills that will go to work in the coming weeks depending upon how deep this correction goes.
Berkshire is just rebalancing their fund... Perfectly normal. If there's anything unusual, it's that they waited so long into the run-up to do it. I think Warren just got tired of pushing his luck in this market, even though he may think things are still heading higher. He has to justify his decisions and can make the fiscal case why he lost out on future gains than he can justify missing the top. His investors will complain that they hopped off the securities train, but Buffet can point out that they've doubled their money in the last couple of years.
Good discussion Rob. I personally wouldn't use a P/E chart that goes back to the 1800's. Two world wars and the post-war rebuilding had a massive effect on stocks. I'd take it from the invention of the internet. The internet is our modern world. Throw in globalization to that mix too. I'd use 1990-present day to calculate the mean/median/average P/E. No recession for 16 years has been exacerbated by the Fed pumping trillions into the US economy. When the pumping stops, the reservoir will drop. Buffett is a business savant, no question, but he only has a couple of years left on this planet. For his companies, a move to more cash at this time is a prudent one. I am now 55% cash too.
What about a person who is about to come into some inheritance? Should they look for an adjustment from highs before getting into the market when valuations are so high>
I agree, especially for a largely one product company depending on a high markup which might be hard to sustain in a recession. I am basically avoiding the big seven huge cap growth stocks at the moment. Buffet's holdings are so large he has to make moves before the rest of us see smoke. Also possible that he sees a good use for huge amounts of cash on the horizon. Lot of turmoil in the insurance industry of late that may make for both a need for cash, and opportunities for acquisions.
I don't think you can time any market perfectly. However I did liquidate all of my rental properties a year ago and that seems like a good decision. I think it may be wise to get out of the market now and let it come in over probably the next year or more and then go back in when the market has dropped. It does seem like the market is going to trend down in the next year or two.
I am almost completely cash invested at 5.3 monthly treasury notes. No state tax and no risk. I can margin against my treasuries if I need to. Buying season is almost here.
Panic sold some🍎at $182ish based on what Mr. Buffet said about taxes in his shareholder’s meeting in the spring. I have regretted it since. I will now have to pay much more in taxes than I already would have for this year, + the stock price has increased since-a double loss. I was sick with DOOM🤢yesterday when I read he’d sold so much more. This video has calmed me a bit for what is to come Monday. 🍎Apple has unintentionally become my largest holding. I’m afraid his action’s will cause💸💸💸😢 🙏🏻it be temporary.
I buy to hold for eternity. Hence I buy quality stocks with lots of room for growth over the long term. He might sell today, but buy billions worth tomorrow. Lesson: do what works for your game plan.
You don’t and if you did it will end badly. The vast majority of companies eventually lose their way and go out of business. The next recession you will be capitulating at the lows. Buy index funds and rebalance.
Hold for eternity? Top 4 companies with biggest market cap in 1994 were Exxon, Coca Cola, Walmart & Raytheon. If you bought them 30 years ago and hold forever, you will be underperforming SPY. If you do not want to re-evaluate stocks regularly, buy ETF instead
You don’t hold individual companies for eternity, they all go to zero eventually. These days, fewer dividends and more buybacks make this strategy even worse, as you can’t even extract cash from the company’s profits to diversify into others. Your only hope is that eventually the company is bought and merged into another, longer lasting company.
Bought Verizon, shortly after sold Verizon. Bought HP, shortly after sold HP. Bought the airlines multiple times, shortly after selling them. That's just a few off the top of my head. I don't think he is as good as he use to be in the past.
Warren Buffett doesn't always get it right. Sometimes he even does a Jim Cramer. During the pandemic he sold his airline stocks right at the market bottom. Airline stocks started making a big comeback shortly after.
Just put it all in Berkshire Hathaway then you have Buffet making your investment decisions. No need to figure out what he's going to do you're already on the train.
I'm not selling stocks (as I have none) but I am keeping my money (like Buffett) in short term T Bills, and I the only "investment" I have is A LOT of Gold and Silver.
Well I'll take the Occam's razor approach. Buffett sold his Apple stock because he believes it's stock price is going down, perhaps by a lot. And if I was going to sell a whole bunch of a company's stock, I too would say it is great company prior to my liquidation. It's best to talk the stock up to get the best price.
I see a 25 to 30% stock market drop coming. So they want all that cash to buy cheap. Berkshire subsidiary is buying a bunch of companies in my field of work.
It's easy to predict a market crash, but it's a lot harder to predict when specifically the crash will happen. People were predicting the 2008 crash at least as early as 2005. And while the market did eventually crash, you would have lost out on a lot of growth if you sold out three years early.
Increasingly concentrated market focus on a few mega-cap techs, now Buffet is bailing out of Apple. Feels like a major correction is coming in the next year, so my sense is he’s getting liquid in anticipation of reduced valuations. Except for a few hundred thousand sitting in target date funds, my $5M portfolio is ‘fully diversified’ - 80% cash and T-bills, 20% precious metals. If anything, I feel the metals allocation is light (despite being way over historical investment wisdom). The debt bomb is beginning to detonate, which spells long term inflation.
Although i have taken a big hit in the last two weeks, i am holding. It would be nice to have some spare cash now to buy in again, but i did this four weeks ago. Just bad timing 😕
Reading the title... Warren Buffet i a multibillionaire who manages even more than that, who is in his final years of life. His situation and decisions are completely different and irrelevant to literally EVERYONE else
BUY AND HOLD, BUY AND HOLD. 5 years from now, everyone will regret selling. When the market corrects, that is the best time to buy more. Follow history people!
I'm new to investing, less than three months. Got in just in time to get excited about it, then they dropped. Although i wish i divested sooner, i still divested at a relatively good time, and the other thing i did was rebalance my investments. This video's validating my instincts after years of listening to buffet interviews and google talks about finance. The bell's on for your channel now!
I agree. It is a good time to adjust asset allocations. I was at about 70/30, but have reallocated to 40/60. Yes 40% stock, 60% bonds. Bonds were historically low (yields high) and the Fed has said repeatedly that they will lower rates....eventually. I don't know if/when a recession is coming, but if/when it does, I re-adjust my allocation...perhaps to 60/40, hopefully at the bottom.
@@DLG24 indeed. Some may argue the correction will get wider with the fed holding steady. A number of industry voices are fearing a possible recession now. The Sahm Recession Indicator is above 0.5 according to the St. Louis Fed.
What a great sell. Warren's probably exiting the rest of his AAPL over the course of the current quarter. He's going to go in hard with some _girthie beaffe_ one day, possibly as soon as the SPY 10d MA of this current downtrend flattens out & starts nosing up again. Or he might practice some serious Qi retention, pending further recessionary, deflationary & tactical nukulary developments. o/
This is why DCA is best. Don't let emotions or impulsiveness get in the way. Buy good and solid stocks, mutual funds, ETF'S, etc. DCA, through and through, and stay strong everyday.
Very interesting analysis. I have the same concern that we may be going into a recession and and deciding whether I should sell some stock. In my case including some of APPL which is one of my larger holdings and perhaps MSFT shares. I am also sort retired.
The tax explanation makes no sense, if he believes Apple is a good company that will go up in value it’s far far better to hold. If it’s truly a great stock it will rise faster than sp500 so let’s call it 12% annually over 10 years. So heres the scenario, you own $100 of Apple, if you sell today you’ll end up with $79 after tax that money will likely then sit around as Berkshire has plenty of money sitting around and isn’t reinvesting the Apple sale proceeds so it makes maybe 4.5% a year and that will probably go down as rates go down. Even if not, after 10 years you’ll have $122. Ok, let’s look at the other option, hold and pay higher taxes, your $100 will grow to $310 (12% annual growth) assume taxes will double you’d still be left with $180…
It’s still his largest holding. He likely sold because of how big of a position it was, and to have cash for potential opportunities. The low tax rates were just a bonus reason to sell. No matter how much I like a stock I’m not going to hold 40% + of it in my portfolio allocation, especially after I’m up as much as he was. If it keeps growing at a rapid rate, eventually it will be an even bigger percentage, if it stops growing, I now wasted all that capital in one position that went nowhere. It’s an obvious move to take profit after such a big run up in a position.
@@saneb5955 buffet does not believe in diversity. He picks stocks and goes all in. He has said and demonstrated that many time. His philosophy is he finding good businesses, if he’s not confident he doesn’t buy any shares. Also Berkshire has 200 billion in cash. They are sitting on a massive pile and have been for years. I’m not saying he’s exiting his position but when he does exit a position it’s usually by slowly selling off until he has nothing left. He’s done that multiple times.
The tax rate is a red herring. A corporation can always do tax gain harvesting in order to realize capital gains. That doesn't require them to actually reduce their exposure because they can buy back the same shares on the same day. This resets their cost basis and moves their tax liability into the current tax year and reduces the tax liability in future tax years.
Everyone's been promoting investing as a source of passive income, but with a 70-hour workweek and limited financial knowledge, how can I stay on top of things? Every CZcams video says "BUY, BUY!" but when and how do I sell for profit at the right time?
Well all i know is that you cannot go wrong taking profit at near high. No one ever went broke taking a 10% loss. It's best if you consult with a fiduciary advisor to get informed buying & selling decisions
Working with a financial advisor has been a game-changer for me. They provided invaluable insights and tailored strategies that aligned perfectly with my risk tolerance and financial objectives. With their support, I've seen significant growth in my investments and gained confidence in my financial future.
Your advisor must be really good. How I can get in touch? My retirement portfolio's decline is a concern, and I could use some guidance.
The decision on when to pick an Adviser is a very personal one. I take guidance from Vivian Jean Wilhelm to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
Thank you for the information. I conducted my own research and your advisor appears to be highly skilled and knowledgeable. I've sent her an email and arranged a phone call
Every time a household name like Warren makes a big move, it instantly creates uncertainty in the markets. 75% of my $400k portfolio comprises of plummeting stocks which were once revered. Do i liquidate and bear losses or just hold on?
Well all i know is that you cannot go wrong taking profit at near high. No one ever went broke taking a 10% loss. It's best if you consult with a fiduciary advisor to get informed buying & selling decisions..
I agree, investing with the help of an advisor set me up for life. Retired with about $1.6m in stock portfolio only. I max out my 401k and have few properties. I worked hard everyday as a teacher for 32 years, and my salary was over 100k annually. Supplementing my income with stocks and alternative investments helped me achieve early retirement.
pls how can I reach this expert, I need someone to help me manage my portfolio
I'm cautious about giving specific recommendations since everyone's situation varies, but I've worked with *Jennifer Leigh Hickman* for years and highly recommend her. Look her up to see if she meets your criteria.
I searched for her name on the internet, found her page, and reached out via ehmail to schedule a conver-sation. Thank you.
I Hit 110k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject. thanks to Brooke Miller for helping me achieve this
She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states
I'm surprised that you just mentioned and recommended Brooke Miller, I met her at a conference in 2018 and we have been working together ever since.
The very first time we tried, we invested $1000 and after a week, we received $5500. That really helped us a lot to pay up our bills.
I'm new at this, please how can I reach her?
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
I feel investors should be focusing on small caps stocks, and considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation.
Safest approach i feel to tackle it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown
A lot of folks downplay the role of advlsors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? i'm in dire need of proper portfolio allocation
Viviana Marisa Coelho is her name. She is regarded as a genius in her area and works for Empower Financial Services. By looking her up online, you can quickly verify her level of experience. She is well knowledgeable about financial markets.
Thank you for the lead, searched Elisse by her full name and at once spotted her consulting page, she seems highly professional having over 12 years of experience. amazing!
Its just inevitable that there's going to be peaks and troughs in the graph of economic growth or prosperity, there's never going to be one underlying cause that connects them all, embrace the opportunity, make interest, cashing up on dips.
Those calling stocks momentum a flunk aren't considering the long run. The companies themselves have not changed, it's the market that changed. Steady as it goes, and it'll regroup in weeks.
If you are not too savvy with the market, it’s the best time! just buy and hold on strong companies or best you seek out areas within sectors that can help you sustain a balance in both growth and value overtime. In certain cases, it's even wiser to speak with a smartvestor to determine options best meant for you, I personally did this, and it works pretty well..
Well spoken andy, my question is which stocks sectors should I consider adding to my individual fidelity, I intend to hold on for a decade or more.
right now I’m being counsel on renewable energy, semiconductors, Ai chips which will be hugely integral on every sectors in the coming years. an absolute power move right now.
I genuinely think we are going all chips soon, seems like a lot of your interest is riding on this, I could really use your viewpoint.
I came across your channel through this video-case studies are incredibly valuable, and I'm eager to see more in the future! Building wealth involves establishing routines, like consistently setting aside funds at regular intervals for smart investments.
You're correct. I think the smartest way to go is to spread out your investments. By putting your money into different asset classes like bonds, real estate, and stocks from other countries, you can lower the risk if one part of the market goes bad.
That sounds like a good plan. In the past two years, working closely with a financial market specialist, I've built a six-figure diversified stock portfolio. Now, I aim to diversify even more this year.
Talking about a financial market specialist, do you consider anyone worthy of recommendations? I have about 100k to test the waters now that large cap stocks are at a discount... Thanks
NICOLE ANASTASIA PLUMLEE is her name. She is regarded as a genius in her area and works for Empower Financial Services. She’s quite known in her field, look-her up.
Thank you for this Pointer. It was easy to find your handler, She seems very proficient and flexible. I booked a call session with her.
Buffet's move is certain to hurt market sentiment. A year ago. People bought in july sold at the September lows. Then, they kept their cash on the side lines. Missed the rally. I never had that much luck timing in the market.
@@oceansunsetak Never sell , especially a company with 2.5 billion loyal users
Warren is different , he might be trying to raise cash for Boeing or just seeing a Kamala Crash
For normal people, just hold great companies is best way to go
Don't just do something, stand there. 😊
'Don't do something, just stand there'
@@betterme479 Is selling $90 billion of stocks to create a position of $270 billion in US treasuries “just standing there”?
pah im buying....
I'm going on vacation I sold ibought it the early 90s
I think Buffet is doing the opposite of “just stand there.” People mix up the Index investing strategy of “do nothing” with Buffet value investing all the time for some reason. Yeah, he wants to own great business for life, but he also has to correct many of his admitted mistakes and deploy new capital.
Is it a good time to sell some stocks or hold for the long term? I'm rebalancing my $2M portfolio and want to know the best strategies for the remaining part of the year
It's crucial to reassess your investment strategies in light of current market conditions. Consider consulting a market expert for guidance.
Sell the ones that are going to go down and keep the stocks that will go up and have good dividends. Take the 60/40 approach if you can live with 10-15% annual return.
The only thing I know is they don't exit the market they are just waiting for the prices reaches a nice level
I sold all my PayPal, added a bit to my AMZN and holding Palentir. Good luck all.
Disagree. This is classic Buffett selling behavior. He doesn’t like being negative so he dances around the real issues but keeps unloading stock. For example, when Wells Fargo was going through all its problems, Buffett kept defending them and defending them but unloaded all his stock shortly thereafter.
Yeah. He's a bit of a talker. He tells everyone what a great company it is, while he unloads their stock.
He's probably going to reallocate right before the interest rates start to drop. Maybe real estate? Prices may drop soon and it's very cyclical.
With regard to Apple, it's hard to tell if he sees something wrong or it's simply that it's his largest holding. The 10-Q doesn't give enough information.
Yeah apple will probably have to dump more money into semiconductors. Not just higher prices with new nodes designing and manufacturing. But also inflation has hit tsmc and with more demand for leading edge and manufacturing demand tsmc has more pricing power to increase margins by raising prices. Apple now threatend to be the biggest customer with NVIDIA set to catch up.
2nd quarter ended on June 30. I bet WB sold more AAPL since then.
Even after selling half of Apple , he will still have twice as much money in Apple shares than his next leading stocks. He’s just taking money off the table for future investments. I don’t consider that a panic sell.
Buffet is likely displeased with apples share BuyBacks, it's an egregious move considering apple is already priced so high, Buffett sees the advantage of share BuyBacks when the stock is low, but not buying back when Shares are at all time highs just to boost CEOs bonuses. Selling Apple is a good move for Buffett, because likely better deals will emerge and he wants to cash available, since apples at an all-time high that's a good time to sell, and it also gives him a chance to express his displeasure with the share BuyBacks. Overall it's a good move.
You can learn a lot from smart people. Thanks for explaining this in a way regular people can digest.
Thanks for the video. It seems rather simple, if you've read about or listened to Buffett much. STOCK VALUATIONS ARE HIGH! Whether it's the Buffett Indicator or Shiller P/E they are at historic highs. That's NOT an environment Buffett likes to invest in...which is probably why he was investing in Japan and Korea. No sense in fighting the Fed. I'm sure he's content to take his 4-5% interest in Treasuries while waiting for his next move.
2022, 2018, 2011 were down or flat years for the market so they haven’t been going “up,up,up since the 2008 crisis.
Buffett sold half of his Apple shares right to Tim Cook, whose company has a massive buy back. I am not selling my shares. I have other companies to sell.
Like you I own AAPL and BRK.B 😅 To be honest I wasn't happy that Warren's shop bought so much AAPL in the past. Because for me BRK.B is an investment to counterbalance my tech stocks. Now, after Warren sold half of his AAPL shares until end of June 2024 I'm relieved... 😂 because now BRK.B again is the defensive stock I once was looking for...
Happy for you.
Berkshire still has a lot of Appl stock, a lottttt
maybe he sell because wants to buy some cheap tech like intel or nvidia if it keeps falling
You can fix this situation for yourself if you wish to. Once you have a position in Berkshire figure out how much of your position is Apple, then short sell Apple by that amount. You'd essentially have a Berkshire position as if he didn't own the Apple shares.
@@whatthedeuce3006 Neither INTC 😂 nor NVDA fall in his "value" category. Both don't fit to my investing approach as well 😊.
Buffett and Berkshire have been building cash reserves for some time. He clearly doesn't see much good value in this market. Seems sensible given the economic backdrop and where valuations currently are assuming what was to be a soft landing or no landing.
Young folks like me listen to wisdom from professionals like you too, not only senior folks! Really appreciate the format and the content you make. Helped me personally a lot!
I love the way you clearly separate facts from speculation. A lot of videos I see take speculation to a conclusion and then state it as a fact.
He said Tax Reasons. Plus, it's nice to have enough cash ready for other investments sometimes.
It's definitely not just for tax purposes. According to his own 'Buffett Indicator' the market is extremely overvalued. Plus, Apple's growth prospects have decreased over the past few years. He's getting ready for the next acquisition that will move the needle for Berkshire and he'll pounce once the market corrects.
@@user-vr8lu7bv2u Sure, he'll take his gains now while Apple prices is still relatively high but what about the taxes for selling? I'm sorta in that situation right now. My tech stocks has done great, but unfortunately they are in my brokerage account instead of my Roth IRA. I'm afraid of selling and having it affecting the taxes on my SS income.
Munger and Buffett have both achieved an incredible feat with Berkshire. They've turned thousands to billions, and have made a lot of people wealthy in the process. I really saw the potential of the stock market by reading Berkshire's annual letters. I recently sold my $674k apartment in the Bel Air area and I'm hoping to throw it into the stock market. I just don't want to lose everything.
Great video Rob. A few things stand out to me. As the BRK cash hoard grows larger and larger, now at $277 Billion, I think it's only going to get harder and harder to deploy this amount of capital into attractive opportunities. I know there is always a chance we get another 2008/2009 type magnitude recession and there are lots of bargains, and eventually that will happen again, but it might not be for many years. I think it is likely that when Buffett is no longer at the helm there will be some type of special dividend that is paid out because trying to manage the amount of capital they have and generate market competitive returns is going to be close to impossible with the capital they will be working with.
Secondly, BRK has held a lot of cash for many many years now and wasn't really that aggressive during the COVID downturn and I remember back in 2020 Buffett didn't think valuations were that great when the S&P 500 was well under 3,000 and BRK-B was under $200. Go back and watch the 2020 meeting with him and Greg. So all that to say, I don't people should view this as some type of market timing signal.
People who view anything he does as market timing will never get it.
Given what many people say about the long and severe recession to come what would you do if you dependent on that investment dividend income in the years to come. What if America becomes like Japan and goes into a 10-15 years of downtown? Japan stock market was riding high in the 80s and after it crash, it’s never come back quite the same way.
It is wisdom that Warren Buffet took some chips off the table. You call it market timing, I call it strategic rebalancing.
@@johnj4094 100%Agree. Retirees can't afford the sequence of returns risk. Retirees should be very conservative in their retirement accounts, Father Time is no longer your friend. Be proactive, don't just buy, hold, & pray.
@@user-ir1bl9ii1e I agree that he is likely rebalancing, but the problem is, where is the rebalancing? Holding $270b in short-term treasuries is not rebalancing. Buffett has long said he wished he could hold zero cash but has to for his insurance companies.
If I could have seen the future I would have sold everything two weeks ago.
To save 6% you’ll pay 15%+ in taxes?
@@Funancialism better than when Kamala increases the ST cap gain tax to 30%. Taxes will be paid, now or later.
This is barely a much expected correction.
If you could have seen the future at the end of 2021 and reinvested after the market was down 20+%. That would have moved the needle.
@@charlielipthratt7291by the end of the year it’s going to be ugly. Be careful
@@Funancialism What if the money was in IRA/ROTH? What if selling generates no taxes, or minimal taxes? What if selling is taking profits, sitting on the sidelines, and buying back in with a new higher basis?
My three favorite channels: Rob Berger, Stock Brotha, & How Money Works. Make my week complete! 🔥 🔥 🔥
This isn’t a new development or trajectory at Berkshire, but the financial press has to amplify the “who dun it” angle.
Current Schiller PE ratio is approximately 1.725x of historical average (34.5 vs 20). Assuming earnings stay constant (big if), correction to historic average would mean a 40% reduction, which would take the current S&P from 5400 down to 3100.
Let's try 2000? Maybe 1800? 3100 is much too rich, in my humble opinion
@@ArkOmen1What about 500? Then the S&P 500 could be 500. 😊
@@ArkOmen1 smh stop
The forward PE of the S&P is a much more accurate predictor than current PE, be careful of what you are looking at. Some of the biggest bull runs have happened when the S&P PE was high 30s because earnings were depressed.
@@SpaceTravel1776
The future is unpredictable but last 2 peaks in Shiller PE were in 2000 and 2007, S&P went down 30-35% in the following 2-3 years. Right now I’ve taken the gains and parked in cash at 5.28% yield waiting for a correction. Could I be wrong and miss the boat? Maybe, but it’s reassuring to see that at least Warren Buffett has the same mindset.
Since I’m not retiring anytime soon I’m going to hold and if it drops keep buying.
Count me in that boat.
Well it’s only 5 am and I’ve lost $1800 of my $20k so 10 more days of this and I’m fucked
@Mike-we3rb percentages don't work like that lol
I’m doing nothing. 👍
Warren Buffet has a different problem than most individuals. He has so much cash he can't deploy it without causing his desired security to rise, so he's long in treasuries and cash. For the rest of us poor buggers : When stocks are on sale you BUY them.
Thank you, you nailed it. People in his position make the market. People that trade in the mere 10's of billions are subject to trying to predict the market. Below that you're a spectator.
I’m retiring at the end of this year and I sold all of my stocks that were still up on Thursday and Friday (AAPL, DE, MA) as I wanted to get deeper into low cost index funds anyway. It was the right move.
Holding BRK.B as it’s more of an index fund than a stock, really.
We actually had a recession in 2020. In fact, all of 2020 was below Q4 2019.
We are in a bad recession now but the media has been lying to you saying it’s not bad.
In comparison to 2008, we haven’t had a real recession directly tied to the poor performance of the economy. The recession you’re referring to was caused by a pandemic, not by money. The current markets are brewing up a very nasty and real monetary recession that is only now supposed to happen after the 17 years or so of not having one.
@@douglassmith9445 Recession is a term without a real definition, however the worldwide accepted definition is 2 quarters of dropping GDP.
Since the entire year of 2020 produced GDP below the 1029 level it was certainly a recession. Thankfully a short recession.
2008 was a near depression as 9 of the next 12 quarter were below the level at the end of 2007.
Cash at 5.29% yield currently is a good thing.
True that. But if you’ve had large positions in cash for the past year or two, you’ve missed out big time.
@@markolmstead4709 missed out big time until the correction hits. Are you selling now or riding it out? I’m pretty sure my cash will not go down 5% next week.
@@markolmstead4709 only if you sell otherwise you risk being down for 10-15 years
Hi Rob, could it be that Warren is creating a cash hoard in anticipation of a sell off in Berkshire Hathaway share on his demise. He wants to leave his successor to have funds to buy back Berkshire stock at fire sale prices.
I'm honestly a bit nervous with this market. I harvested my new long term capital gains positions from last year. The index is hugely overweight tech, and when everyone is talking about Nvidia like a gamer was during the pandemic it made me think we've lost the plot. Especially when one day it can be down 7%, then up 7%, then down 11%. We're in a strange part of the economy where people have jobs but still can't afford to live, and it can't happen forever.
Plus it seems like lowering interest rates and letting people refinance mortgages is going to be the only thing keeping the housing sector alive. If we have a drop in prices, all the people that are underwater might be stuck in very high interest loans that might not be able to be refinanced if they don't have enough equity.
This is the kind of landing that if the fed makes it, the passengers will all be clapping. But I seriously doubt it.
Warren has been very clear PE opposes interest rates. So it was interest rates 1%-3% while PE's were 3%- 3.8%. Now it is interest rates 5.5%-7% while PEs are just below 3%. Thus loaning money is a real option to prefer over owning stocks.
these guys from berkshire are very good accountants, and this is the secret behind all.
buy low sell high, age old sentiment, it's not the 40% drop ,it's about how long it takes to come back.
Sage advice as always Rob. I began paring back my equity positions (booking profits for some and eliminating losers) last month and investing more in my bond funds which will benefit from lower interest rates. My TLT jumped 8% this past week alone. Also sitting on a short term portfolio of CDs and T-bills that will go to work in the coming weeks depending upon how deep this correction goes.
Very wise move.
In other words get ready to buy the dip 👏
S&P has 6% of Apple.
Why Shiller PE? 10 year average PE does not make sense in this dynamic environment.
Berkshire is just rebalancing their fund... Perfectly normal. If there's anything unusual, it's that they waited so long into the run-up to do it. I think Warren just got tired of pushing his luck in this market, even though he may think things are still heading higher. He has to justify his decisions and can make the fiscal case why he lost out on future gains than he can justify missing the top. His investors will complain that they hopped off the securities train, but Buffet can point out that they've doubled their money in the last couple of years.
Good discussion Rob. I personally wouldn't use a P/E chart that goes back to the 1800's. Two world wars and the post-war rebuilding had a massive effect on stocks. I'd take it from the invention of the internet. The internet is our modern world. Throw in globalization to that mix too. I'd use 1990-present day to calculate the mean/median/average P/E.
No recession for 16 years has been exacerbated by the Fed pumping trillions into the US economy. When the pumping stops, the reservoir will drop.
Buffett is a business savant, no question, but he only has a couple of years left on this planet. For his companies, a move to more cash at this time is a prudent one. I am now 55% cash too.
What about a person who is about to come into some inheritance? Should they look for an adjustment from highs before getting into the market when valuations are so high>
He sold mcd years ago. Has gone up big time since.
Buffet sells off before every crash. There’s no mystery here
@@gawgaw6941 if you don’t sell you don’t lose
Found this video from a search for BAC and berkshire.
Love your content.
Subbing
Tech is correcting. Warren is smart.
I agree, especially for a largely one product company depending on a high markup which might be hard to sustain in a recession. I am basically avoiding the big seven huge cap growth stocks at the moment. Buffet's holdings are so large he has to make moves before the rest of us see smoke. Also possible that he sees a good use for huge amounts of cash on the horizon. Lot of turmoil in the insurance industry of late that may make for both a need for cash, and opportunities for acquisions.
You can't even spell it. So don't mind me if I leave your advice.@@gawgaw6941
What about 2022?? No recession, but -18% on SPY...
I don't think you can time any market perfectly. However I did liquidate all of my rental properties a year ago and that seems like a good decision. I think it may be wise to get out of the market now and let it come in over probably the next year or more and then go back in when the market has dropped. It does seem like the market is going to trend down in the next year or two.
More useful information or equally useful information is how Berkshire is investing its $277 billion of CASH? Perhaps we can do the same!
Short term government bonds and float for underwriting insurance policies
I am almost completely cash invested at 5.3 monthly treasury notes. No state tax and no risk. I can margin against my treasuries if I need to. Buying season is almost here.
You have risk, you have roll over risk.
@@mark33545 Not much roll-over risk in one month notes. Too short of a term.
Panic sold some🍎at $182ish based on what Mr. Buffet said about taxes in his shareholder’s meeting in the spring. I have regretted it since. I will now have to pay much more in taxes than I already would have for this year, + the stock price has increased since-a double loss. I was sick with DOOM🤢yesterday when I read he’d sold so much more.
This video has calmed me a bit for what is to come Monday. 🍎Apple has unintentionally become my largest holding. I’m afraid his action’s will cause💸💸💸😢
🙏🏻it be temporary.
It will be temporary may have to relax and not look til December
you should reduce equities in general as they are very highly valued. you can buy cheaper again once there is a more significant correction.
I buy IVV, SCHD and DGRO. Love me some dividends.
Depends on your need for income or growth
I buy to hold for eternity. Hence I buy quality stocks with lots of room for growth over the long term. He might sell today, but buy billions worth tomorrow. Lesson: do what works for your game plan.
You don’t and if you did it will end badly. The vast majority of companies eventually lose their way and go out of business. The next recession you will be capitulating at the lows. Buy index funds and rebalance.
Hold for eternity? Top 4 companies with biggest market cap in 1994 were Exxon, Coca Cola, Walmart & Raytheon. If you bought them 30 years ago and hold forever, you will be underperforming SPY. If you do not want to re-evaluate stocks regularly, buy ETF instead
You're dead before eternity, bro.
Thank you for the advice, what do you think of the stock AKTS (Akoustis Technologies), worst stock pick ever or most genius investment of all time ?
You don’t hold individual companies for eternity, they all go to zero eventually. These days, fewer dividends and more buybacks make this strategy even worse, as you can’t even extract cash from the company’s profits to diversify into others. Your only hope is that eventually the company is bought and merged into another, longer lasting company.
He didn’t just sell, he’s been selling Apple all last week And apples up !
20 years from now, it will show this period is a great time to buy stocks when the market is spooked!
Buy low, sell high. It’s quite simple really.
@@AMP98765It’s much more simple if you’re Warren Buffet and own entire companies. None of us are Warren Buffett. Don’t try to time the market.
@@AMP98765 what are you talking about, you buy when stocks are red
True, please tell me when your Crystal ball tells you the low.
I will hang up and wait for your call.
p.s. Please tell me before, not after. 🤪
Bought Verizon, shortly after sold Verizon. Bought HP, shortly after sold HP. Bought the airlines multiple times, shortly after selling them. That's just a few off the top of my head. I don't think he is as good as he use to be in the past.
Standard Portfolio distribution may be why. Not too complicated to understand. AAPL has been holding strong in this selloff.
Good analysis
What is your opinion about Intel stock future?
Warren Buffett doesn't always get it right. Sometimes he even does a Jim Cramer. During the pandemic he sold his airline stocks right at the market bottom. Airline stocks started making a big comeback shortly after.
I don't want my future self regretting my past actions or non reactions. Buy...buy...buy! And hold.
There's an old saying I like.
"There's a million reasons to sell stock, there is only one reason to buy".
Just put it all in Berkshire Hathaway then you have Buffet making your investment decisions. No need to figure out what he's going to do you're already on the train.
A BIG factor would have to be their Capital Gain. BH likley had a cost basis that we all would like to have.
Making sure he has plenty of cash on hand ready for prices to slip a bit so they can buy up heaps more stocks when they are low.
I'm not selling stocks (as I have none) but I am keeping my money (like Buffett) in short term T Bills, and I the only "investment" I have is A LOT of Gold and Silver.
I sold everything this morning 410 K worth of stocks got out took a beating
Well I'll take the Occam's razor approach. Buffett sold his Apple stock because he believes it's stock price is going down, perhaps by a lot. And if I was going to sell a whole bunch of a company's stock, I too would say it is great company prior to my liquidation. It's best to talk the stock up to get the best price.
That isn't Occam's razor, that is using Buffett's actions to confirm one's own bias.
@@5metoo Well Slick, I didn't sell my Apple stock.
I see a 25 to 30% stock market drop coming. So they want all that cash to buy cheap. Berkshire subsidiary is buying a bunch of companies in my field of work.
It's easy to predict a market crash, but it's a lot harder to predict when specifically the crash will happen. People were predicting the 2008 crash at least as early as 2005. And while the market did eventually crash, you would have lost out on a lot of growth if you sold out three years early.
Marmon Holdings?? Just curious.
Ok Nostradamus, I see crashes and bull markets then more crashes then more bull markets.
I don't change my financial plan. A Boglehead sets a plan and sticks to it. 😉
@@JosephDickson I agree. Money is made on corrections and crashes when you invest in broad market index funds like VOO or VTI.
Do you like SCHD?
Hope you have a large % in bonds.
Normally I would agree, but this is a very strange time in the markets and Warren Buffet is the best investor currently alive.
@@johnj4094no, I don't chase dividend yield. I prefer a total world market approach to my equities and spread out the risk broadly.
Increasingly concentrated market focus on a few mega-cap techs, now Buffet is bailing out of Apple. Feels like a major correction is coming in the next year, so my sense is he’s getting liquid in anticipation of reduced valuations. Except for a few hundred thousand sitting in target date funds, my $5M portfolio is ‘fully diversified’ - 80% cash and T-bills, 20% precious metals. If anything, I feel the metals allocation is light (despite being way over historical investment wisdom). The debt bomb is beginning to detonate, which spells long term inflation.
Although i have taken a big hit in the last two weeks, i am holding. It would be nice to have some spare cash now to buy in again, but i did this four weeks ago. Just bad timing 😕
Reading the title... Warren Buffet i a multibillionaire who manages even more than that, who is in his final years of life. His situation and decisions are completely different and irrelevant to literally EVERYONE else
BUY AND HOLD, BUY AND HOLD. 5 years from now, everyone will regret selling. When the market corrects, that is the best time to buy more. Follow history people!
Now you risk to look at your stocks being down the next 10-15 years
Well he just pulled a billion outta bac too. Raising cash big time!
I'm new to investing, less than three months. Got in just in time to get excited about it, then they dropped. Although i wish i divested sooner, i still divested at a relatively good time, and the other thing i did was rebalance my investments. This video's validating my instincts after years of listening to buffet interviews and google talks about finance. The bell's on for your channel now!
glad I bumped into your channel! thanks.
It’s funny how he keeps saying “burg-sheer” 😂
Speculation is a recession and 6 month bear market. Ill hold through it personally.
I agree. It is a good time to adjust asset allocations. I was at about 70/30, but have reallocated to 40/60. Yes 40% stock, 60% bonds. Bonds were historically low (yields high) and the Fed has said repeatedly that they will lower rates....eventually. I don't know if/when a recession is coming, but if/when it does, I re-adjust my allocation...perhaps to 60/40, hopefully at the bottom.
Dry powder for broader market correction?
And a correction is sure coming.
@@DLG24 indeed. Some may argue the correction will get wider with the fed holding steady. A number of industry voices are fearing a possible recession now. The Sahm Recession Indicator is above 0.5 according to the St. Louis Fed.
A correction is always coming.
@@DLG24 wow what an amazing prediction! you are so smart
@@yournum no one cares about the Sahm recession indicator
Yes, buy low sell high
Agree100%.
@Rob-lnvest the Japan carry trade is very concerning. We’ll see if the unwinding continues
It is obviously not about taxes. He is not as bullish about it anymore at this price
Agree100%
What a great sell. Warren's probably exiting the rest of his AAPL over the course of the current quarter. He's going to go in hard with some _girthie beaffe_ one day, possibly as soon as the SPY 10d MA of this current downtrend flattens out & starts nosing up again. Or he might practice some serious Qi retention, pending further recessionary, deflationary & tactical nukulary developments. o/
This is why DCA is best. Don't let emotions or impulsiveness get in the way. Buy good and solid stocks, mutual funds, ETF'S, etc. DCA, through and through, and stay strong everyday.
Very interesting analysis. I have the same concern that we may be going into a recession and and deciding whether I should sell some stock. In my case including some of APPL which is one of my larger holdings and perhaps MSFT shares. I am also sort retired.
Maybe selling a bit of my overvalued tech stocks, and spreading it across value and a bit more bonds ETF.
Finally Berk Will be more diverse. I never bought because 60% is Apple. I might look into BerkB next week
❤ I’m new to following you and to investing. Are you willing to share what index funds you’re invested in? Thanks!
Think you hit the nail on the head Sir.
Raw Burger is one of my favorite investing channels.
Great video, Rob. I always enjoy your thoughts on these types of things.
Sell when Buffet sells. Buy when Buffet buys.
Buffet knows most of us don’t know
Forever bull
The tax explanation makes no sense, if he believes Apple is a good company that will go up in value it’s far far better to hold.
If it’s truly a great stock it will rise faster than sp500 so let’s call it 12% annually over 10 years.
So heres the scenario, you own $100 of Apple, if you sell today you’ll end up with $79 after tax that money will likely then sit around as Berkshire has plenty of money sitting around and isn’t reinvesting the Apple sale proceeds so it makes maybe 4.5% a year and that will probably go down as rates go down. Even if not, after 10 years you’ll have $122.
Ok, let’s look at the other option, hold and pay higher taxes, your $100 will grow to $310 (12% annual growth) assume taxes will double you’d still be left with $180…
It’s still his largest holding. He likely sold because of how big of a position it was, and to have cash for potential opportunities. The low tax rates were just a bonus reason to sell. No matter how much I like a stock I’m not going to hold 40% + of it in my portfolio allocation, especially after I’m up as much as he was. If it keeps growing at a rapid rate, eventually it will be an even bigger percentage, if it stops growing, I now wasted all that capital in one position that went nowhere. It’s an obvious move to take profit after such a big run up in a position.
@@saneb5955 buffet does not believe in diversity. He picks stocks and goes all in. He has said and demonstrated that many time. His philosophy is he finding good businesses, if he’s not confident he doesn’t buy any shares. Also Berkshire has 200 billion in cash. They are sitting on a massive pile and have been for years.
I’m not saying he’s exiting his position but when he does exit a position it’s usually by slowly selling off until he has nothing left. He’s done that multiple times.
The tax rate is a red herring. A corporation can always do tax gain harvesting in order to realize capital gains. That doesn't require them to actually reduce their exposure because they can buy back the same shares on the same day. This resets their cost basis and moves their tax liability into the current tax year and reduces the tax liability in future tax years.
WHY did he sell just 50%?, why didnt he sell 100%? he's not sure if it will go up or down??
He still believes in the company, it's just overrated. By 50%...