Self Managed Account

Discussion in 'UPS Retirement Topics' started by browniehound, Sep 13, 2013.

  1. browniehound

    browniehound Well-Known Member

    Anyone use the self managed account in their 401k? Anyone have any success? Can you trade stocks right there on the teamster 401k website? I was thinking about taking 90% of my balance and buying Twitter when it goes public.
    Just kidding. Was thinking about taking 10 grand and buying Twitter at its IPO. I believe Twitter is the future of mobile advertising. Have you noticed all these social media stocks like Facebook, LinkedIn, Groupon, etc.? They're flying high.
  2. badpal

    badpal Member

    The stock market is a tricky beast you mention facebook many first time investors got burnt on that one. Bought the ipo rode it down and threw in the towel. Only now to come back and start making new highs.
  3. brownmonster

    brownmonster Man of Great Wisdom

    I would consider buying some twitter stock. I met the man Jack Dorsey in SF back when they were still starting out. Nice guy.
  4. purplesky

    purplesky Active Member

    I have thought about it. The index funds in the 401k have done so well I just cant get motivated to find the time. I think a good plan would be to move A BUNCH of $$ to the SMA and put it on the sidelines in cash AND WAIT FOR THE MARKETS TO CRASH AND THEN GO SHOPPING FOR STOCKS ON SALE. Pick like 5 steady eddie companies to buy.

    I remember when UPS got down to like $50? in 2008? and I remember telling everybody I knew at the time to buy UPS stock.
  5. The trading fees will beat you up on the self managed account!
  6. purplesky

    purplesky Active Member

    I would just buy and hold in the SMA. Buy stocks for the long haul that pay a good dividend. Thats why I skipped on the SMA before. The trading fees were Wall Street robbery.:wink2: They might be more reasonable now?
  7. Unless your buying big blocks of stock at a time, its hard to make money! if you buy 25 shares of a stock at a time you will pay around 20 bucks to buy. and 20 bucks to sell......ouch!
  8. Brownslave688

    Brownslave688 You want a toe? I can get you a toe.

    Yep I skipped the IPO and bought right around $18
  9. oldngray

    oldngray nowhere special

    Don't buy the IPO until after the first sell off when the special people who got it at the supposed IPO price that was only available to the big guys before the first opening. It will surge the first day on enthusiasm but then will drop on profit taking and that is the time to buy if you are interested.
  10. kingOFchester

    kingOFchester Well-Known Member

    1) Do not get investment advice from the internet.

    2) Do not get investment advice from truck drivers.

    3) Do not get investment advice from strangers.

    4) Do not get investment advice from truck driving strangers on the internet.

    Now for some advice from a stranger who is a truck driver who posts on the internet. To buy and sell stocks, you should understand P/E multiples, volume, dividends, ex-dividend dates, earnings history, balance sheets, 10-K and 10-Q, how to read charts like a Moving Average Convergence Divergence and on and on. Once you understand that, you will need to apply that to the company you want to buy and then their competitors. You will need to dedicate a minimum on 1 hour a week for every company you own.

    If you really want to get into buying, start with and ETF like SPY. You are able to buy and sell these like stocks, but not as risky as buying one company. Once that is well funded, have some play money that is just a small portion of your nest egg. Use that to play with. Just make sure you are buying 3k minimum per company. If not, the trading fees will hinder your success. Even if you only pay $7 per trade, that equates to a total of $14 to get in and out of one purchase. So you buy 1k worth of XYZ, you will be down 1.4% right out of the gate between the $7 to buy it and the $7 to sell it. Not sure about you, but I do not want to be down 1 and a half percent before any movement of the stock price.

    My home office looks like a crazy UPS managers office. Got the whiteboard that I use to keep notes on stocks that I am watching, spread sheets stuck to it, pie charts from everything like how my money is distributed between accounts to how much stock in any given industry to insure diversification. Earning dates listed and all kinds of crazy stuff. But its my hobby.
    Last edited: Sep 14, 2013
  11. kingOFchester

    kingOFchester Well-Known Member


    Time and time again I see new investors buying a couple hundred dollars of company X because they want to get into buying stocks. Do not buy stocks until you are able to buy 3k or more of just that company. If you bought $1,000.00 of company XYZ it will cost you a minimum of $7.00. It will then cost you a minimum of $7.00 to sell your shares of XYZ. So right out of the gate you would be down 1.4% between paying the 7 bucks to buy the shares and 7 bucks to sell the shares. Stupid to buy a stock and be down one and a half points. Seen people buy 75 dollars in a company. That means the stock would have to rise almost 19% for them to see a profit.
  12. bmwmc

    bmwmc Active Member

    Today with the "market" at all time highs you have to read between the lines. Adjusted for inflation the "market" is still 25% below its 2007 high. That's if you believe the guberments inflation numbers. Wall st. is a ponzi scheme. With slick come on's like PE values and return's vs bonds and the like. Fact is its just paper being traded and its "value" based solely on what someone else is willing to pay you for it. Or, more easily understood as The Greater Fool buyer.

    The financial crises exposed what Wall St know, what the Federal Reserve knows, and what most of the sheepele don't understand, ITS ALL ABOUT LEVERAGE. When everyone is de-leveraging there is no growth. Everything today is artificial. From money printing to deficit spending the REAL economy is still broken yet the "market" keeps moving like everything is fix.

    The game of the Federal Reserve, of the Government, and there sycophants in the trillion dollar financial service industry is to convince you, to cajole you, and even coercer you (its call financial repression..see link below) to CHASE these paper assets higher and higher SOOOOOOOOOOOOOO the banks, hedge funds, CAN UNLOAD trillions of $$$ of losses on the the mo mo's (that slang for momentum chasing bag-holding retail investors) then yank the easy/free money spigot leaving them, LIKE THE LAST THREE CRASHES...HOLDING THE F'N bag. Not forgetting the fact that this current era of central bank policy is all about financing and monetizing government debt.

    So go chase that hot stock, go gamble in the rigged game, the wolves on Wall St eagerly wait for you.

    Financial Repression Back to Stay: Carmen M. Reinhart - Bloomberg
  13. brownmonster

    brownmonster Man of Great Wisdom

    Between that and analyzing Teamcare do you have any fun? Put money in the market every week, ignore it, and suddenly you have half a million or more.
  14. purplesky

    purplesky Active Member

    It does seem everything is rigged in the world of finance and business. If you are in the market long term(10 years or more) than you can survive crashes and profit taking corrections.

    Index funds are a good way to go.
  15. kingOFchester

    kingOFchester Well-Known Member

    Investing is fun.

    Teamcare, well for me its more about politics which I have an invested interest in.

    Not to mention my children, photography, skiing and a few other interests.
  16. bmwmc

    bmwmc Active Member

    "Investing" is only fun when your winning.

    Todays monday and Larry Summers, a precieved hawk of Fed money printing, withdraws from consideration to be the next Fed chairman and stawks soar^^^^. Now do you see the correlation between Fed money printing, ZIRP (zero interest rate policy) and stawks?

    Greenspan built the bubble in stocks before the 1987 crash when he raised interest rates then rebuilt another one that fuel the stawks bubble in 2000 before he crashed it raising interest rates, then built another bubble in housing and stawks by bringing interest rates to 1% for years, then Bernanke takes over and begins to raise interest rates .25% a month until Fed Funds rate reach 5.25% and BOOM!

    Now the fix is to collapse the interest rates, shower the world in trillions upon trillions of newly printed dollars, rack up unprecedented debt, and create another bubble to fix the last one. Bubbles are always fun on the way up and nobody wants the music to stop but it will and the next pop given the extraordinary actions take to "save" the economy will make the last crash look like small potato's.
  17. anonymous6

    anonymous6 Guest

    my sma has been outperforming the 401k but have to say been very LUCKY. bought a lot of blue chips for the yield. and use the buy and hold strategy. if 10k is your play money I would gamble on twitter. if not play money and it would hurt to lose half of that, then forget it.
  18. kingOFchester

    kingOFchester Well-Known Member

    I respect your doomsday philosophy.

    I believe that if there is a total collapse of the global economy, there is nothing to say that Gold and Silver will have anymore tangible value then Alabama Shad fish bones.

    I have lost money during drops. But, I have financial plans and securities to lower my exposure. Older I get, the more secure my investment style.
  19. kingOFchester

    kingOFchester Well-Known Member

    Social media doesn't really interest me. So I am not willing to do the due diligence that would be necessary to make a commitment to adding Twitter to my portfolio. I will however be watching it just out of curiosity. I wish you and all other investors luck with Twitter.
  20. pkgdriver

    pkgdriver Member

    The commission to buy or sell for the SMA is generally 8.95