Immigration

[Guisslapp]

….speaking of immigration. BUILD THAT WALL!

Just waiting on that check from Mexico. Has it come in yet?

[PawDawg]

build that wall!

[Guisslapp]

build that wall!

Trump promised Mexico would do it. Where is the check?

[PawDawg]

Trump promised Mexico would do it. Where is the check?

No he didn't. He said they would pay for it. He never said they would pay up front.

[johnnylightnin]

I see the bubble/volatility going the other way. Btw, the markets are extremely volatile right now.

Essentially, bubbles happen because of overspeculation. Too much capital deployed in a specific sector that is overvalued based on real demand. I don’t see how taxing capital gains the same as ordinary income causes that to get worse.

As far as investors and unfortunate economic events happening early in retirement, well, that is why it is important to have a well diversified portfolio when you stop making active income and not be overexposed to stocks. You have to protect yourself against a collapse of any given asset class. Stocks have historically recovered but you need enough other investments that don’t positively correlate with stocks to make it through those periods. Real estate, bonds, treasuries, CDs usually have lower correlation. Fortunately, with the Fed raising rates, fixed income folks are starting to get some ultr-safe alternatives. Unfortunately, interest rates have been so low so long, doing that now is creating some jitters for fixed income investments that compete with CDs and even stocks in such a volatile bearish environment.

There’s a lot here and I’m on my phone. All I’ll say at this time is that fixed income is never ultra-safe...it just has a different type of risk.

[Guisslapp]

There’s a lot here and I’m on my phone. All I’ll say at this time is that fixed income is never ultra-safe...it just has a different type of risk.

You still have to be diversified to hedge against inflation.

[TYLERTECHSAS]

Build that wall!

Amen!!

Put the heat on them Trump!

[Guisslapp]

No he didn't. He said they would pay for it. He never said they would pay up front.

You will believe anything apparently.

[TYLERTECHSAS]

No he didn't. He said they would pay for it. He never said they would pay up front.

Exactly!

[johnnylightnin]

You still have to be diversified to hedge against inflation.

Right. My biggest issue with elimination of capital gains rates is that I firmly believe it will discourage diversification amongst small to medium size business owners...thus ramping up volatility as sectors experience the natural ebbs and flows of the market.

[Guisslapp]

Right. My biggest issue with elimination of capital gains rates is that I firmly believe it will discourage diversification amongst small to medium size business owners...thus ramping up volatility as sectors experience the natural ebbs and flows of the market.

Why wouldn’t they diversify? The reason to diversify doesn’t change?

[PawDawg]

You will believe anything apparently.

...says the guy who thinks the Clinton foundation is clean and that Obama was justified in paying a ransom to Iran.

[johnnylightnin]

Why wouldn’t they diversify? The reason to diversify doesn’t change?

If the tax treatment of their investment dollars change, they will concentrate their investment in their own businesses where they have far more control and better tax treatment.

The rationale of diversification doesn’t change, but history proves year after year that, by and large, people are not rational with their money.

[TYLERTECHSAS]

...says the guy who thinks the Clinton foundation is clean and that Obama was justified in paying a ransom to Iran.

And Obama never paid the survivors of the Lebanon truck bombings of the Marine barracks which Iran still owes them. Instead he paid Iranian terrorist off $hundreds of billions in cash. Hopefully Trump will somehow get it out of Iran's hide.

[DONW]

I read this in the newspaper yesterday. Mexico is increasing the minimum wage from $4.40 per day to $5.10 per day. That's per day, not per hour.