Crashing

Posted on January 22, 2008
Filed Under All, Context |

So, my first investment appeared to be a disaster - I put my life’s savings ($1000!) in a mutual fund a few weeks before the infamous ‘Black Friday’ crash (early 80s?) and I watched a couple hundred bucks evaporate.

I was in it for the long haul, though, and let the money ride. Today that fund is worth $30,000. I have never, ever timed the market: every time I’ve tried, I’ve lost money. Everything I’ve put - and left - in the stock market has returned wonderfully, despite dips, crashes, recessions, booms and busts. So, I’m not jumping on the panic bandwagon, even as I watch my portfolio shrink… recession is a state of mind, and I’ve been there…

Comments

4 Responses to “Crashing”

  1. Lynne Tyson on January 22nd, 2008 8:08 pm

    Bravo, hang in there. You won`t be sorry. I`ve been through this a couple of times.

  2. Anonymous on January 22nd, 2008 9:00 pm

    Surrounded by 5% housing inflation, 10% rent inflation, and a Web 2.0 boom in full force, we R as disconnected from whatever is driving traders as possible. Silicon Valley has always predicted trends in the rest of the country. Maybe they’re all wrong and there really is too much money. Maybe they’re right and we’re the Silicon Titanic.

  3. cg on January 23rd, 2008 8:57 am

    California often has behaved as its own little (actually not so little) economy. I think the subprime loans are causing problems down South, but, as you point out, the Valley just is chugging along (not that we don’t have our own boom and bust cycle).

  4. cg on January 23rd, 2008 9:08 pm

    Update: Dow bounced back 300 points today (01/23/08)…..

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