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UPDATE:  Due to the enormous declines on Thursday, we decided to wait until Friday to see if the markets will settle down before making any sell decisions.

February 27, 2020.  Yesterday morning while the markets were up 300-400 points, we sold two more positions.  The broad markets ended the day down.  And this morning, the DOW is down around 500 points, which places us in a CORRECTION.

We are really stunned that financial advisors out there are recommending you buy positions.  This is really crazy stuff.  This whole mess reminds us of the tragic 2008 correction.  We stupidly remained invested and suffered because of that moronic decision.  As we have said here numerous times, we are NOT going to make that mistake again.  If you are a young investor, you can afford to ride out corrections and recessions, but as retirees we have to be very conservative.

If you want to reduce exposure to a declining market, one approach is to keep the number of positions, but sell 50% (or some percentage) of EACH position.  And we may be implementing this starting today.  By the way we own numerous corporate bonds and have sold NONE of them so far.

NOW IN OUR 8TH YEAR. NOTE TO NEW READERS: Before you buy anything we discuss here, GO to the Core Portfolio tab to see a CURRENT listing of holdings. Don’t forget to hit the like button.  Our host WordPress is running ads in the blog and we receive NO compensation from this advertising. 

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