[bmw101]

Originally Posted by ehhhwik

i made pretty good capital gain in all my stock investments (never had to lose a penny so far in the stocks i sold)

What stock picks do you have in mind right now?

[ehhhwik]

Originally Posted by bmw101

What stock picks do you have in mind right now?

GOLD, GOLD AND GOLD! thats about all i can i say, i don't give out tips as i don't want people to shoot me with a gun when they lose money or kill my family

and also, i dont diversify, people only do that if they have tons of cash and are scared shittless about losing money on their investments, and most importantly, its all about TIMING! knowing when to buy a stock or any investment is extremely important

[bmw101]

Originally Posted by ehhhwik

GOLD, GOLD AND GOLD! thats about all i can i say, i don't give out tips as i don't want people to shoot me with a gun when they lose money or kill my family

and also, i dont diversify, people only do that if they have tons of cash and are scared shittless about losing money on their investments, and most importantly, its all about TIMING! knowing when to buy a stock or any investment is extremely important

LOL. So you mostly day trade?

[MOAB]

Originally Posted by ehhhwik

GOLD, GOLD AND GOLD! thats about all i can i say, i don't give out tips as i don't want people to shoot me with a gun when they lose money or kill my family

and also, i dont diversify, people only do that if they have tons of cash and are scared shittless about losing money on their investments, and most importantly, its all about TIMING! knowing when to buy a stock or any investment is extremely important

Please don't give out b.s. advice on this site, i.e. diversifying is only for people with lots of $, buy gold, gold and more gold, etc. Some people may actually believe what you are saying is the proper way to invest.

[ehhhwik]

Originally Posted by MOAB

Please don't give out b.s. advice on this site, i.e. diversifying is only for people with lots of $, buy gold, gold and more gold, etc. Some people may actually believe what you are saying is the proper way to invest.

how is that BS?? i might have exhaugerated a little bit (in a joking way), but please tell me how are you suppose to diversify if you have a limited amount of funds, and do what? buy 2 shares of google at $600/share? and can you admit that gold is not doing well? please explain

[MOAB]

Originally Posted by ehhhwik

how is that BS?? i might have exhaugerated a little bit (in a joking way), but please tell me how are you suppose to diversify if you have a limited amount of funds, and do what? buy 2 shares of google at $600/share? and can you admit that gold is not doing well? please explain

You don't need a small fortunte to diversify. Even with a couple thousand bucks, you can buy some financials, some oil and gas, etc. You don't need to buy stocks like RIM, Google and Berkshire Hathaway.

[NoKids]

I can barely afford my monthly car payments. But in the end, even if I end up defaulting on my car loan and forced to sell my car, IT WAS TOTALLY WORTH OWNING A BMW FOR A FEW MONTHS. haha.

[ehhhwik]

Originally Posted by NoKids

I can barely afford my monthly car payments. But in the end, even if I end up defaulting on my car loan and forced to sell my car, IT WAS TOTALLY WORTH OWNING A BMW FOR A FEW MONTHS. haha.

I agree with that!

[bmw101]

Originally Posted by MOAB

You don't need a small fortunte to diversify. Even with a couple thousand bucks, you can buy some financials, some oil and gas, etc. You don't need to buy stocks like RIM, Google and Berkshire Hathaway.

That depends on how old and how aggressive the person is. It's not easy to diversify with $5000.

[RBP]

Originally Posted by ehhhwik

well, i know i am only 21, but heres my experience with financial planning, i've been active on the stock market since i was 19, starting with not too much money (around $15,000), im very risky in all my investments (ie. big gains & big losses), i just thought that i was young and had nothing to lose (no kids, wives, mortages, debts, etc), with the way the stocks are performing in the last few years, i made pretty good capital gain in all my stock investments (never had to lose a penny so far in the stocks i sold)

so i was able to afford my e92 328i and all its costs of running it, and although i am leasing, i can use my gains in my stock investments per month to pay for the monthly payments and still be left with a small amount left to do what ever the hell i want (ie. car mods, clothes, shoes, other useless stuff) and basically use my pay cheque from work to pay for my daily expenses and put 50% of my pay cheque in a high savings acct (4%)

so its really up to you guys whether or not to buy an expensive car, but its just depends on how you go about planning your future and how to invest for retirement, but honestly, saving lots of money for retirement is important, but knowing how to properly invest money is way more important, because making money with money is way easier than making money with your own hands (ie. a job)

i have personal experience (i work at a bank) with seeing people in serious debt when they are over 50 and some other people who have net assets of over $10million, all in real estate, investments, etc

I really don't agree with this posters methods, and I would suggest people not make generalizations about "the stock market" or individual investments (i.e. buy gold or get in to tech or don't deversify; as that advice isn't worth very much and isn't very productive). Get some advice from a certified financial planner or a professional in that industry.

My advice remains that starting early is irreplaceable and reinvesting your gains is what is important. Spending your gains on your car completely defeats the purpose. And if you are 21 and investing 50% of your income in to a 4% yielding account, then I would suggest you may want to get some financial planning advice.

All I was saying above is that if you invest as much as you can as early in life as you can....you will end up with a much more finacially secure life and a tremendous amount of freedom some years from now. At 21 or 25 it is very hard to consider your situation 20 years down the road. But if you can forget about keeping up with the "Jones'"...you will thank your younger self down the road.

[soamazin]

Originally Posted by RBP

Even if you saved $20K a year for 10 years (you are now 35)...that would be worth about $341,000 (I'm always assuming around a 10% return which has been the average of the stock market for a very long time and that it is put in to an RRSP i.e. tax deferred). If you then never saved another dime after age 35...by the time you were 50 you would have about $1.5 million. By the time you hit 65, you would have about $6.7 million.

This is assuming a 10% rate on an RRSP?

[ehhhwik]

Originally Posted by RBP

I really don't agree with this posters methods, and I would suggest people not make generalizations about "the stock market" or individual investments (i.e. buy gold or get in to tech or don't deversify; as that advice isn't worth very much and isn't very productive). Get some advice from a certified financial planner or a professional in that industry.

My advice remains that starting early is irreplaceable and reinvesting your gains is what is important. Spending your gains on your car completely defeats the purpose. And if you are 21 and investing 50% of your income in to a 4% yielding account, then I would suggest you may want to get some financial planning advice.

All I was saying above is that if you invest as much as you can as early in life as you can....you will end up with a much more finacially secure life and a tremendous amount of freedom some years from now. At 21 or 25 it is very hard to consider your situation 20 years down the road. But if you can forget about keeping up with the "Jones'"...you will thank your younger self down the road.

i think you misunderstood my statement, just because i put in half my pay cheque in a savings account doesn't mean i don't use my savings for investing in the stock market

but yes, i agree with you that starting to invest in an earlier age is always better and earlier the better!

[Magimac]

Originally Posted by RBP

Many people making less than you will tell you you're rich and you can easily afford the car. Many people making more than you will tell you that you can't afford the car.

"Able to pay for" and "afford" are two very different things.

If all you want out of life is a nice car...then get the 335. If you want to have a nice house and the freedom of an early retirement then I'd say get something much cheaper than either of those 2 cars. At 25, you can't see very far down the maturity road...but in about 10 years, you'll look back and wonder why you don't have very much saved. Saving early in life cannot be replaced. If you put away $20K a year now and invest it...it will be the equivalent of investing $100K a year 15-20 years from now. If you start saving now....when you hit 45, you can start looking at Ferrari's and thank your younger self. If you start now, save around $20K per year for the next 25 years...you'll have nearly $3 million at age 50. If you wait till you're 35 and save the same $20K per year...you'll only have maybe $800K saved. Before you get the big mortgage and kid expenses....I would suggest you save as much as you can in the early years. Once you have the cash...there will be lots of time to buy fancy cars.

I agree with the concept here, but maybe not the math. If you save 20K per year and invest it at 5%, you'll end up with about $1 million, plus whatever tax savings you'll get by maxing your RRSPs. I wish I had done this 30 years ago. In my case, we have decent savings and investments, and no debts other than a few years left on our mortgage (which we are paying off as fast as we can.) I paid a big chunk of my new car up front, and will own it outright in two years -- I plan to drive it for a minimum of five, if not 10 years.

[peazs]

I'm reconsidering my plan to purchase a 2008 328i as it's fairly expensive for me even with any discounts for it'll put me into a $20K debt or so.

I'm just thinking that for a $50-60K vehicle, it's not the right time to get one as I'm only 22. Thinking up ahead the road, especially how much housing currently costs, it'll be better if I save some now.

In retrospect, a part of me does want to move into another car. I have a 2003 Acura RSX currently and have had my fair share of fun in it. I've already parted out my body kit and started my planning on selling everything out in order to move into the next vehicle.

Maybe this puts me back into square one as in which car to consider now. Maybe it's time to look into a certified pre-owned vehicle instead. Hmmm...

[RBP]

Originally Posted by Magimac

I agree with the concept here, but maybe not the math. If you save 20K per year and invest it at 5%, you'll end up with about $1 million, plus whatever tax savings you'll get by maxing your RRSPs. I wish I had done this 30 years ago. In my case, we have decent savings and investments, and no debts other than a few years left on our mortgage (which we are paying off as fast as we can.) I paid a big chunk of my new car up front, and will own it outright in two years -- I plan to drive it for a minimum of five, if not 10 years.

I assumed a 10% return, which is the stock market average over the years, with all gains and dividends reinvested.

I think we'd be hard pressed to find anyone in their later years that didn't wish they saved more. Cars are great and if you can easily afford them while still saving and investing...fantastic. But that $60,000 thing in your driveway is very quickly going to be worth $15,000 and you won't be quite as enamoured with it by then.

I suspect there are quite a few people that can barely keep up with the payments in order to keep up with the Joneses. I just think it's better to actually be rich than to just appear to be rich.

[bmw101]

Originally Posted by peazs

I'm reconsidering my plan to purchase a 2008 328i as it's fairly expensive for me even with any discounts for it'll put me into a $20K debt or so.

I'm just thinking that for a $50-60K vehicle, it's not the right time to get one as I'm only 22. Thinking up ahead the road, especially how much housing currently costs, it'll be better if I save some now.

In retrospect, a part of me does want to move into another car. I have a 2003 Acura RSX currently and have had my fair share of fun in it. I've already parted out my body kit and started my planning on selling everything out in order to move into the next vehicle.

Maybe this puts me back into square one as in which car to consider now. Maybe it's time to look into a certified pre-owned vehicle instead. Hmmm...

20K debt?! I won't do it.

[peazs]

Originally Posted by bmw101

20K debt?! I won't do it.

Oops, I may have worded it wrong, or not. Basically what I meant was that after a trade-in and a specific amount of down payment I'd like to put in, I'll have $20K to pay off (finance) within the # of years I'd sign to pay this off by --> 48 months for example. This can be covered no problem, but what I meant is that do I even want to consider covering this amount when it could be saved elsewhere for something else.

[bmw101]

Originally Posted by peazs

Oops, I may have worded it wrong, or not. Basically what I meant was that after a trade-in and a specific amount of down payment I'd like to put in, I'll have $20K to pay off (finance) within the # of years I'd sign to pay this off by --> 48 months for example. This can be covered no problem, but what I meant is that do I even want to consider covering this amount when it could be saved elsewhere for something else.

I see. Invest your money and imo acura RSX isn't a bad car to drive anyway. It's not like you driving a 2nd handed 97 Civic for 5 years and want something better very badly. Just my 2 cents as I have no idea whatsoever on your financials.

[peazs]

Originally Posted by bmw101

I see. Invest your money and imo acura RSX isn't a bad car to drive anyway. It's not like you driving a 2nd handed 97 Civic for 5 years and want something better very badly. Just my 2 cents as I have no idea whatsoever on your financials.

Yup, RSX isn't a bad car at all! Just an itch to move to something else after over 4 years of driving it. I'm going to cut down $10K (or more hopefully) on what I intended to spend (when considering the 328i coupe) now. Most likely looking into the certified pre-owned inventory.