mikes425
Commander
generally happy in semi-retirement and dividend income-land
Posts: 126
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SCHD
Nov 9, 2023 0:06:17 GMT
Post by mikes425 on Nov 9, 2023 0:06:17 GMT
I'm liquidating a small town bank stock (OTC) that's gradually buying back shares after recent 5-year lows. For, basically a long term retirement-oriented account, any reason not to invest proceeds into SCHD, if i want to maintain my current equity AA of 50/50?
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Post by Chahta on Nov 9, 2023 1:28:54 GMT
No reason as far as I am concerned. But some 'growthier' people here might not buy into SCHD since it has had a rough year. I sure wish I could always have all funds doing well.
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mikes425
Commander
generally happy in semi-retirement and dividend income-land
Posts: 126
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Post by mikes425 on Nov 9, 2023 1:48:38 GMT
Chahta , Yep likewise : ) - I would see this as an opportunity to buy it for less... and dividends are meaningful to me for income.
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SCHD
Nov 9, 2023 23:55:27 GMT
via mobile
Post by FD1000 on Nov 9, 2023 23:55:27 GMT
Many said it's an opportunity in Feb, March...and months later...and it's still down YTD. The market knows best.
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mikes425
Commander
generally happy in semi-retirement and dividend income-land
Posts: 126
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Post by mikes425 on Nov 10, 2023 1:24:53 GMT
Many said it's an opportunity in Feb, March...and months later...and it's still down YTD. The market knows best. Added a bit this week - perhaps premature if the downtrend is on track to continue - but seems a reliable long term holding for a dividend oriented investor and certainly nothing too exotic about it. My bond funds are still far inferior by comparison this year. I guess now it's become a sort of contrarian play(?). And IMHO, the market doesn't seem to know best about anything right now. .
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SCHD
Nov 10, 2023 4:21:37 GMT
Post by FD1000 on Nov 10, 2023 4:21:37 GMT
Many said it's an opportunity in Feb, March...and months later...and it's still down YTD. The market knows best. Added a bit this week - perhaps premature if the downtrend is on track to continue - but seems a reliable long term holding for a dividend oriented investor and certainly nothing too exotic about it. My bond funds are still far inferior by comparison this year. I guess now it's become a sort of contrarian play(?). And IMHO, the market doesn't seem to know best about anything right now. . The market knows best. It told you that growth is in(QQQ), that higher-rated bonds are out(BND), that bank-loans bond are in, see FAFRX. Finally, the market told you that SCHD is out. Remember, in the past I posted many times that SCHD is one of my favorites because it did well in most markets. YTD it did terrible. Would it get better? I don't know and it's not enough to get better, it has to lead again to consider it. I also learn that for whatever reason markets can be one sided for much longer that you anticipate and/or a successful fund can lag for years because the fund style doesn't work well in a certain market. SCHD not like other funds is managed in a very specific manner, it has a formula it follows. Other funds can change managers and they can change direction, SCHD will not. The SP500(SPY,VOO) continues to be an easy KISS choice. It made "only" 20+% more than SCHD. I'm just discussing SCHD, you should do what is good for you. Attachments:
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Post by roi2020 on Nov 10, 2023 5:03:01 GMT
Many said it's an opportunity in Feb, March...and months later...and it's still down YTD. The market knows best. Added a bit this week - perhaps premature if the downtrend is on track to continue - but seems a reliable long term holding for a dividend oriented investor and certainly nothing too exotic about it. My bond funds are still far inferior by comparison this year. I guess now it's become a sort of contrarian play(?). And IMHO, the market doesn't seem to know best about anything right now. . I agree that SCHD appears to be a solid long-term holding.Purchasing funds at the optimum time with any consistency is improbable. Some investors claim good results executing various trading strategies. Buy and hold investors can safely ignore most trading strategy commentary since it is not relevant to their personal investment plans.
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Post by mozart522 on Nov 11, 2023 14:14:41 GMT
Value funds are out right now, because higher rates (MM over 5%) make their usually high yield much less competitive. Once the FED starts to lower rates again (which could be a long time if GDP keeps going up), then Value with good yield should do well. One value fund, COWZ, a mid-value that targets free cash flow (cash cows) has done well this year up over 6%. However it is energy-heavy, so it has some volatility.
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