2025 / 2026 Investment Thread

[WoodsChick]

If your finance lady tripled your IRA in just 4 years then listen to her only.

But please try and get her to join barf and post in this thread so we can all be rolling in dough.

I have been listening to her! She seems to have a handle on stuff. I still worry about it, though. These are crazy times we're living in, and everything seems so volatile. I also wonder how long it can keep going, you know? It just seems like all this growth is just not sustainable, but what do I know?

+1

Roughly 35% to 45% of the S&P 500's market capitalization is directly tied to AI-linked or mega-cap tech stocks.

I think it would be good to rebalance to 15% AI-linked tech stocks. Above 15% would be "aggressive".

In our minds we are smack in the middle of "aggressive" and "conservative" when it comes to investments. According to your numbers we are way aggressive. Maybe that's why I'm worried about it? I swear life was easier when we were just hard-working stiffs with savings accounts and a mortgage!

 

[900ss]

I have been listening to her! She seems to have a handle on stuff. I still worry about it, though. These are crazy times we're living in, and everything seems so volatile. I also wonder how long it can keep going, you know? It just seems like all this growth is just not sustainable, but what do I know?



In our minds we are smack in the middle of "aggressive" and "conservative" when it comes to investments. According to your numbers we are way aggressive. Maybe that's why I'm worried about it? I swear life was easier when we were just hard-working stiffs with savings accounts and a mortgage!

You know a lot. PM sent, please disregard with apologies and regrets if not germane. Bogleheads.org is a very informative website.

 

[Reli]

If your account has quadrupled in only 4 years, I'm assuming that's because you kept contributing to it?

If not, your advisor must be doing something extremely risky. The S&P500 grew only about 80% over those 4 years. So she must have been playing with options, getting lucky with market timing strategies, or putting very high amounts of your money into individual companies instead of funds. I'm guessing at least one-third of your money in NVDA? I'd honestly think about dumping her, because what she's doing is essentially gambling.

 

[Blankpage]

Thank you for the input! It's been crazy to watch the growth. I believe the initial investment happened in 2015, I think?

Holding NVDA since 2015

Got a feeling we're gonna have more than one barber shopping for Aston Martins

 

[Blankpage]

If your account has quadrupled in only 4 years, I'm assuming that's because you kept contributing to it?

If not, your advisor must be doing something extremely risky. The S&P500 grew only about 80% over those 4 years. So she must have been playing with options, getting lucky with market timing strategies, or putting very high amounts of your money into individual companies instead of funds. I'd honestly think about dumping her, because what she's doing is essentially gambling.

True, I'd be so angry with her if she had exposed me to $$ millions in gains, so angry

 

[WoodsChick]

If your account has quadrupled in only 4 years, I'm assuming that's because you kept contributing to it?

If not, your advisor must be doing something extremely risky. The S&P500 grew only about 80% over those 4 years. So she must have been playing with options, getting lucky with market timing strategies, or putting very high amounts of your money into individual companies instead of funds. I'm guessing at least one-third of your money in NVDA? I'd honestly think about dumping her, because what she's doing is essentially gambling.

I wrote quadrupled, but when Blankpage said tripled in his post, I went back to check it out just to see. It is more than tripled, but less than quadrupled. I should probably edit that! But, yeah, I hear you. Thank you for your input, Reli.

Holding NVDA since 2015

Got a feeling we're gonna have more than one barber shopping for Aston Martins

Haha! Yeah, we won't be bringing one of those home any time soon, although they are pretty damned sexy. Where would we put the cat carriers and the litter box? Do they offer tow packages for them?

 

[900ss]

Well, if they don't offer them, you could afford to have some designed, manufactured and patented!

 

[Sharxfan]

I wrote quadrupled, but when Blankpage said tripled in his post, I went back to check it out just to see. It is more than tripled, but less than quadrupled. I should probably edit that! But, yeah, I hear you. Thank you for your input, Reli.



Haha! Yeah, we won't be bringing one of those home any time soon, although they are pretty damned sexy. Where would we put the cat carriers and the litter box? Do they offer tow packages for them?

If you're buying an AM then you just have someone drive the Benz Luxe van that carries your kitties to your destination. All of lifes problems can be solved by throwing money at them. You're welcome.

 

[Reli]

True, I'd be so angry with her if she had exposed me to $$ millions in gains, so angry

I wouldn't be angry, but I'd tell her to stop being so risky. I doubt there are any credentialed advisors who would put so much of their client's money into one stock. It certainly worked out for her, but tomorrow it might not.

 

[GAJ]

I wouldn't be angry, but I'd tell her to stop being so risky. I doubt there are any credentialed advisors who would put so much of their client's money into one stock. It certainly worked out for her, but tomorrow it might not.

As one gets older protecting the gains becomes of more importance, no question.

 

[WoodsChick]

I wouldn't be angry, but I'd tell her to stop being so risky. I doubt there are any credentialed advisors who would put so much of their client's money into one stock. It certainly worked out for her, but tomorrow it might not.

And therein lies the rub. That is my concern. My original question was about Nvidia stock specifically. The initial investment in Nvidia happened sometime in 2015. There have been no subsequent purchases of the stock, only what happens when it splits. We had a lot of the Magnificent Seven stuff but some of that has since been diversified. There seems to be a pretty good mix of small cap and large cap stuff in there. Eric and I brought a few of our own investments, in addition to the stocks and other accounts we inherited. It’s all done well, but due to the ridiculousness of Nvidia, the percentage it now represents in our portfolio is concerning.

Thank you, everyone! I appreciate everyone’s input. The wealth and breadth of knowledge here on teh BARF never ceases to amaze me

 

[Das MotorRad]

Typically when you inherit something, your cost basis is the FMV at the time of inheritance. That is why I mentioned 2021. May not take care of all of the sting of capital gains, but it will help

I would ask your financial advisor to confirm that your cost basis of your inherited stocks are properly reflecting their value as of 2021. If they are not, then you may be overestimating your unrealized gains.

 

[WoodsChick]

Typically when you inherit something, your cost basis is the FMV at the time of inheritance. That is why I mentioned 2021. May not take care of all of the sting of capital gains, but it will help

I would ask your financial advisor to confirm that your cost basis of your inherited stocks are properly reflecting their value as of 2021. If they are not, then you may be overestimating your unrealized

Thank you! We were just looking at that yesterday. Yes, they are being reflected properly.

 

[GAJ]

And therein lies the rub. That is my concern. My original question was about Nvidia stock specifically. The initial investment in Nvidia happened sometime in 2015. There have been no subsequent purchases of the stock, only what happens when it splits. We had a lot of the Magnificent Seven stuff but some of that has since been diversified. There seems to be a pretty good mix of small cap and large cap stuff in there. Eric and I brought a few of our own investments, in addition to the stocks and other accounts we inherited. It’s all done well, but due to the ridiculousness of Nvidia, the percentage it now represents in our portfolio is concerning.

Thank you, everyone! I appreciate everyone’s input. The wealth and breadth of knowledge here on teh BARF never ceases to amaze me

Are any of those monies in a Roth account?

That is where my wife put her AAPL 15 years ago or so.

 

[WoodsChick]

Are any of those monies in a Roth account?

That is where my wife put her AAPL 15 years ago or so.

Yes. Eric opened a Roth IRA when we bought the house in 1992, and we inherited one. There are a few that are non-Roth, as well.

 

[mercurial]

if you want to de-risk your NVDA position without immediately eating the taxes to sell it off, just sell some far dated, in the money call options against it. Your advisor should know how to do this, it's not a complicated transaction. You can very easily turn a high volatility equity position into the equivalent of a 10% high yield bond, with this kind of approach.

 

[GAJ]

Yes. Eric opened a Roth IRA when we bought the house in 1992, and we inherited one. There are a few that are non-Roth, as well.

You have to withdraw all the inherited IRA accounts, Roth or regular, within 10 years as I'm sure you know.

 

[WoodsChick]

You have to withdraw all the inherited IRA accounts, Roth or regular, within 10 years as I'm sure you know.

Yep!

 

[Blankpage]

I wrote quadrupled, but when Blankpage said tripled in his post, I went back to check it out just to see. It is more than tripled, but less than quadrupled. I should probably edit that! But, yeah, I hear you. Thank you for your input, Reli.



Haha! Yeah, we won't be bringing one of those home any time soon, although they are pretty damned sexy. Where would we put the cat carriers and the litter box? Do they offer tow packages for them?

I knew you typed quadruple and that’s what I was thinking when I was replying but for some reason I typed triple, got my wires crossed. I was probably distracted by imagining all those cats living the life eating Grey Poupon looking out the window of a Rolls and thinking how much Kattegat would enjoy that. But here she is playing with a plastic bag and seemingly not knowing what she’s missing, life is what you make of it I guess.

 

[GAJ]

I knew you typed quadruple and that’s what I was thinking when I was replying but for some reason I typed triple, got my wires crossed. I was probably distracted by imagining all those cats living the life eating Grey Poupon looking out the window of a Rolls and thinking how much Kattegat would enjoy that. But here she is playing with a plastic bag and seemingly not knowing what she’s missing, life is what you make of it I guess.


View attachment 600357

We've had several cats that love plastic.

Very odd.

 

[WoodsChick]

Mercer barfed up an entire gigantic plastic wrapper from a huge tray of Costco meat, and it was still in one piece! That was the day we spent $50 on a plastic garbage can with a locking lid on it, so now we can’t afford that Rolls Royce

 

[Blankpage]

Mercer barfed up an entire gigantic plastic wrapper from a huge tray of Costco meat, and it was still in one piece! That was the day we spent $50 on a plastic garbage can with a locking lid on it, so now we can’t afford that Rolls Royce

You could probably find enough in your couch cushions for that Rolls but then you don’t get rich by spending frivolously. Besides the cats won’t know a Rolls from a Bentley, shop around for slightly used.

 

[WoodsChick]

Typically when you inherit something, your cost basis is the FMV at the time of inheritance. That is why I mentioned 2021. May not take care of all of the sting of capital gains, but it will help

I would ask your financial advisor to confirm that your cost basis of your inherited stocks are properly reflecting their value as of 2021. If they are not, then you may be overestimating your unrealized gains.

I just looked at the cost basis on our account, and I also looked up what a split-adjusted Nvidia share was worth on the day Pop died, and they are the same… $29.91.

I just wanted to be sure I had accurate information.

 

[Sharxfan]

We've had several cats that love plastic.

Very odd.

one of ours goes gaga for walmart plastic bags but only while they are on top of a table. if they hit the floor she loses interest. And I wonder why I like dogs better.

 

[GAJ]

one of ours goes gaga for walmart plastic bags but only while they are on top of a table. if they hit the floor she loses interest. And I wonder why I like dogs better.

Dogs are useful.

They eat cat poop.