Posted on 01/31/2019 2:44:26 AM PST by C19fan
It beat other methods of investing in the past, when few investors is doing it. Whether it would beat other methods of investing if it became a fad, and everybody put every dollar they could scrape up into index funds, remains an unresolved question.
I would say no. If everyone is investing one way, then the best way to make money is to invest some other way.
This is not an actual poll, but uses publicly available statistics, mostly the Fed Survey of Consumer Finances. They collect data on every category of income and assets, all the things you mention and many more.
This data can be freely downloaded in SAS or Excel formats by anyone, and you can use it to generate any sorts of reports you like, including or excluding anything. This is evidently what Phoenix does.
The Fed data breaks down real estate assets and mortgages into personal residence and non-personal residence. They also give the mean and median values of credit card balances, vehicle loans, education loans, etc, etc.
It is strange that the state with the highest taxes have the highest number of millionaires. Wonder why that is.
It’s bc the measurement is per capita and people here are being innumerate. Gentrification is pushing people who aren’t millionaires to PGC or the ass-end of Maryland. I used to live in Arlington when i worked at the pentagon and it was happening even then.
True, but a jump of nine spots in the rankings in a single year is unusual. These kinds of list do change over time, but not that fast.
I would say no. If everyone is investing one way, then the best way to make money is to invest some other way.
The reason it works is that it guarantees you will get the average result of the market. This is true no matter how many people do it.
With very, very few exceptions no advisor can do better than the market average long-term. BUT, the advisor charges fees, and usually uses mutual funds with fees also. So, the investor gets less.
Advisors and fund managers get rich, average investor gets screwed.
I say we send their kids to community college instead of the high-priced ones.
You can do whatever you want, but a financial advisor is hazardous to your brokerage account.
In a market-cap weighted S&P fund, you are buying a large number of shares of the most overvalued companies, and a small number of shares of the most undervalued companies. This is the opposite of what a value investor would do.
I do not pay any attention to “financial advisors”. Instead, I examine the business model, quality of management, balance sheet, cash flow, and earnings of each company I invest in. I pay no fees to anyone, just $4.99 to buy up to 1000 shares of each stock.
I have made a lot of money using this method.
Yeah, but am I correct, that the do not subtract these Liabilities for the millionaire statistic? Without mortgages, that certainly seems to be the case.
Maryland “Freak State” PING!
I think you misunderstand the phrase “make it to 100”. He isn’t saying that money is needed to live that long, he is noting how much in assets he must have to pay for bills and food etc after retiring, and keeping it going financially until he is 100 (if he happens to last that long).
If it was only a decade ago, how come within 2 years MD GOT the top spot? And took another 8 to lose it?
(psst Silver Spring - singular)
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