I think the market is going to crash. How do I protect my money?

Linton

GSP said:

Linton said:

You should only hold investments that you wont need to sell for say 10 years.  By that time the price even in a crash could well be higher than the price at the start.

Your post made me think.

We see posts where people say they have only have two or three investments v some that have a more diversified portfolio and 14 investments or more.

Overall, their total funds may be down 20%. But, if the investments have to be sold for income, within that 14 or more investments portfolio, some may be down 5% while the worst may be 50%.

I assume then it’s better to sell the investment down 5% which will result in less of a loss?
And probably more reason why it’s better to have more investments in your portfolio for scenario’s like this v little in the way of investments?

It depends what you mean by investments.  Individual funds may have tens, hundreds or thousands of underlying investments.  I would say that the need the minimum number of funds that are required to give the coverage of investment areas that you require.  The number of investments in terms of funds could reasonably be 1.

Managing funds for income is a major topic in its own right.  I dont see the original price of each investment as a significant factor in deciding what to sell.  It's history and no longer matters.   The right funds to sell for income are those which can be sold without moving the overall allocations of the portfolio away from your target.  So it makes sense to move some funds into cash as part of overall rebalancing.

jscol

baldeagle09 said:

Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that referencing house prices may be sometimes be pertinent to a user's specific MoneySaving situation, we ask that you please refrain from going off-topic into broad, general debates about the housing market, the economy and politics. Threads that are found to have derailed into wider discussions may be removed. Thank you for your understanding.

Perhaps MSE should consider a similar warning for Savings and Investments.

What applies to the housing market, applies equally to Savings and Investments.

I assume this refers to my post.
I'm not seeing broad general debates about the housing market, politics or the economy?
Does anyone think my point unreasonable? 

RG2015

jscol said:

baldeagle09 said:

Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that referencing house prices may be sometimes be pertinent to a user's specific MoneySaving situation, we ask that you please refrain from going off-topic into broad, general debates about the housing market, the economy and politics. Threads that are found to have derailed into wider discussions may be removed. Thank you for your understanding.

Perhaps MSE should consider a similar warning for Savings and Investments.

What applies to the housing market, applies equally to Savings and Investments.

I assume this refers to my post.
I'm not seeing broad general debates about the housing market, politics or the economy?
Does anyone think my point unreasonable? 

And I thought it was me. How dare anyone blame Liz and Kwazi for the panic in the City. 

As regards the implied wrist slapping, I think that particular comment has been completely discredited.

JusinScot

Krakkkers said:

Sell for cash and buy assets.

I've heard that from a few people. But besides property, what assets can should I buy? 

mebu60

jscol said:

baldeagle09 said:

Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that referencing house prices may be sometimes be pertinent to a user's specific MoneySaving situation, we ask that you please refrain from going off-topic into broad, general debates about the housing market, the economy and politics. Threads that are found to have derailed into wider discussions may be removed. Thank you for your understanding.

Perhaps MSE should consider a similar warning for Savings and Investments.

What applies to the housing market, applies equally to Savings and Investments.

I assume this refers to my post.
I'm not seeing broad general debates about the housing market, politics or the economy?
Does anyone think my point unreasonable? 

No :-) Apart from the ninth Haliaeetus leucocephalus (one 'l' at the end). 

JusinScot

B0bbyEwing said:

I think some people here are doing what they usually do and taking what someone says literally, word for word.

When the OP said they aren't an investor & in line with the rest of their post, I took it that they mean they're not really that confident when it comes to investing. They possibly realise they're towards the upper end of the risk scale but in their mind the market is going to crash so they're having a panic - realising that they don't have the stomach for a drop in value and want to know what to do.

They possibly see "an investor" as someone who has a bit of know how over what funds to pick & can ride the drops out - the opposite of themselves.


I really do not think they literally mean "i am not an investor but I have money invested and I'm saying this sentence thinking it for sure doesn't contradict".

Thank you, that is exactly how I feel. I feel like I should be doing something and I want to know what are the options everything from cash it out to ride it out and hopefully I I will find something in between I am comfortable with. 

RG2015

mebu60 said:

jscol said:

baldeagle09 said:

Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that referencing house prices may be sometimes be pertinent to a user's specific MoneySaving situation, we ask that you please refrain from going off-topic into broad, general debates about the housing market, the economy and politics. Threads that are found to have derailed into wider discussions may be removed. Thank you for your understanding.

Perhaps MSE should consider a similar warning for Savings and Investments.

What applies to the housing market, applies equally to Savings and Investments.

I assume this refers to my post.
I'm not seeing broad general debates about the housing market, politics or the economy?
Does anyone think my point unreasonable? 

No :-) Apart from the ninth Haliaeetus leucocephalus (one 'l' at the end). 

Looks like all the said Accipitridae IX has achieved is to prompt further derailments of the thread. 

waveydavey48

JusinScot said:

What are you doing? 

Nothing whatsoever.

mears1

masonic said:

If you can't tolerate your investments losing value, then sell and stick to FSCS protected savings accounts <£85k per bank or NS&I as suggested above.

I will not be selling any of my investments, other than to rebalance into any further falls. My portfolio is currently considerably less risky than the two funds you mention, but I'll be moving up the risk scale as things unfold.

Your posts show you know a thing or two about investing. May I ask what funds you are invested in?  And what are you referring to when you say things unfold?

jimjames

JusinScot said:

Albermarle said:

I am not an investor.
 I have the bulk of my money in a VLS 80 and BlackRock consensus 100 funds

The two statements are completely contradictory.

I think the market is going to crash.

Some would say it has already crashed, or at least had a significant downward correction. The best time to sell was about 10 months ago. It is quite possible that now is quite a good time to buy rather than sell. In reality nobody knows.

 

I don't consider myself an investor. I did some research, found a couple decent funds, put my money in it and hoped for the best.

I get that no one know but my guess is it's going to crash and I'm looking for options on what to do in my case? 

Why would "it" crash? Why do you think those funds will crash and what do you think is going to crash? If it's sterling then having non sterling assets would be a very good thing as they will rise if the pound falls against the dollar.