• 7 Posts
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Joined 11 months ago
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Cake day: June 15th, 2023

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  • The index fund options in many 401Ks underperform - this is just across the average, not all 401ks. Some 401Ks have general stock market index funds, some only offer index funds in specific sectors or target metrics.

    The analysis I ran started with the question: ‘given the average 401k, compare returns including average match against general stock market index funds’.

    My assumption going in was that 401Ks would return better results because of the employer match, but that’s not the case on average. The average investor would have significantly more money if they’d just invested in ‘market’ index funds, and it wasn’t even close.

    That being said, 401Ks or general ETF funds are still risky and inferior when compared to pensions and social security.


  • 401Ks, in general, are a terrible substitute for pensions and social security. The GOP wanted to push Americans’ retirement funds into the stock market, and they did that with 401Ks.

    I ran some basic analysis a few weeks ago, and even with the corporate matching on 401Ks, due to the poor fund investment options available in most 401Ks, they underperformed index funds over a 30 year period.

    Yes, that means many people who contributed to their 401K at full amount, even with matching, have less money than someone who just invested in SPY or VOO over the same period.


  • I’ve thought for years - long before Trump ever ran for president - that he’s just a trust fund kid who spends his annual allowance on pretending to be a business man.

    Basically he just flew around the country in a private plane, wore a bad suit and claimed to be in business, but no business he ever engaged in actually made money. His family real estate holdings existed before he was playing ‘business’ and his own investments have either failed completely or, in the case of New York real estate, underperformed compared to the market.

    His family made him rich by the time he was nine years old, and he wrote a book about what a great businessman he was (despite not actually having built any of that wealth himself) and then he just pretended to be a business magnate until NBC came along and let him do it on television.

    There is a significant number of people who can’t differentiate between image and reality. If a writer creates horror books, they believe that writer is secretly a serial killer or similar. If an actor plays a stripper in a movie, they believe that actor really is someone who would work in the sex trade. They can’t imagine it’s an illusion. So for them, Trump is a magnate despite the evidence.








  • The Washington Post, NY Times and L.A. Times are some of the few organizations that foresaw the move to digital and are very profitable, while local newspapers laughed at anyone who told them in the 90’s and 2000’s that they needed to adapt, and those local papers are now disappearing (while still maintaining that the ‘internet is a trend and not real publishing’).

    So, the smart business moves of the Post makes them one of the existing news media companies employing actual journalists that is making money. They can pay their staff accordingly to maintain that position.