Cash

[MrBurns]

I wonder what the bank wil charge me to hold my money ?..........just thinking into the future after todays cut.

 

[Julia]

Might have been good to tie it up for extended period when rates were high.

 

[MrBurns]

Might have been good to tie it up for extended period when rates were high.

I wanted to keep my options open not sure why.

I might actally have to buy SHARES, perish the thought.....end of the month when the TD expires.

 

[craft]

2015 Indexed bonds are currently returning 0.01%.

 

[ROE]

I wanted to keep my options open not sure why.

I might actally have to buy SHARES, perish the thought.....end of the month when the TD expires.

a bit late, most decent yield stocks gone a bit nuts after RBA cut rate on Tuesday and still climbing

 

[Muschu]

Cash is fine if you have enough. But TD rates are unlikely to hold. Each of us probably has a personal view of risk. But real wealth is not income imo.

 

[MrBurns]

Cash is fine if you have enough. But TD rates are unlikely to hold. Each of us probably has a personal view of risk. But real wealth is not income imo.

There'll never be enough for me, I eat capital constantly.
Real wealth went out the door with my ex

 

[craft]

Each of us probably has a personal view of risk. But real wealth is not income imo.

I certainly have a different view.

Passive income is enduring wealth!

Capital burn is a funding source that exhausts at an increasing rate – Fine, if you have enough, die soon enough and don’t need/want to leave anything behind.

 

[MrBurns]

I certainly have a different view.

Passive income is enduring wealth!

Capital burn is a funding source that exhausts at an increasing rate – Fine, if you have enough, die soon enough and don’t need/want to leave anything behind.

Depends entirely on your needs of course but you need a LOT of cash to get any reasonalbe income at the rates on offer now.

 

[Superb Parrot]

I wanted to keep my options open not sure why.

I might actally have to buy SHARES, perish the thought.....end of the month when the TD expires.

I am in the same position and have to decide in 6 days time....'keeping options open' is turning out to be costly.

 

[Julia]

Depends entirely on your needs of course but you need a LOT of cash to get any reasonalbe income at the rates on offer now.

I am in the same position and have to decide in 6 days time....'keeping options open' is turning out to be costly.

Which is why you have to think about your options when rates are high.
Aside from about $100K which is still at call at 5.25%, I added to what's at 8% and 7% with the rest of the cash at 6%. But it's for five years so I didn't do it lightly. It's lodged in $50K separate deposits so if I need some within that time I don't lose the interest on all of it.
There's absolutely the risk that markets will ease out of their current volatility and I'll want to put money back in.

No decision you ever make will be completely right. We all do the best we can with what we have at the time.

 

[MrBurns]

I have to decide at the end of the month, if they give me the same rate I might stick with it but if not I'll close the account and go shopping at the ASX.
I'm not looking for a percent here and there I'll be looking for some decent gains which means I'll be gambling......then againTelstra still looks good.

 

[MrBurns]

I am in the same position and have to decide in 6 days time....'keeping options open' is turning out to be costly.

Every time I'm in that boat it's the same, things look like they could tank any time so I dont make a move, the economy is looking sicker by the minute but the market keeps rising.

Good luck.........

 

[Ves]

I wanted to keep my options open not sure why.

I accept that you may take offense to this observation (and feel free to correct me if I am wrong) but from your previous postings it would appear as if you do not have a great deal of knowledge about share investment (I am not sure if this extends to other asset classes). I also do not know how you made your wealth, so it is possible that I am rudely, over-assuming and I apologise in advance for that.

In this context what does "keeping your options open" mean? Does it mean that whilst interest rates have been higher you have taken advantage of this "respite period" to analyse and build knowledge on different asset classes? I ask because in most people I have met "keeping my options open" is an excuse to retain the status-quo until they are forced to do something, and usually it is an un-educated decision (which is interesting, considering they have had plenty of time).

 

[Ves]

I certainly have a different view.

Passive income is enduring wealth!

Capital burn is a funding source that exhausts at an increasing rate – Fine, if you have enough, die soon enough and don’t need/want to leave anything behind.

Agree - capital is useless to me if it is merely consumable and not producing of itself.

 

[MrBurns]

I accept that you may take offense to this observation (and feel free to correct me if I am wrong) but from your previous postings it would appear as if you do not have a great deal of knowledge about share investment (I am not sure if this extends to other asset classes). I also do not know how you made your wealth, so it is possible that I am rudely, over-assuming and I apologise in advance for that.

In this context what does "keeping your options open" mean? Does it mean that whilst interest rates have been higher you have taken advantage of this "respite period" to analyse and build knowledge on different asset classes? I ask because in most people I have met "keeping my options open" is an excuse to retain the status-quo until they are forced to do something, and usually it is an un-educated decision (which is interesting, considering they have had plenty of time).

I was im property so I was staying in cash in case I wanted to move quickly on something but there wasnt anything that interested me.

 

[tinhat]

a bit late, most decent yield stocks gone a bit nuts after RBA cut rate on Tuesday and still climbing

I disagree. Relative to the interest outlook for deposits I would say there is still some very good yields on offer, particularly if you can make use of the franking credits, which generally, any retired person should be able to do if they have organised their finances properly. I posted just a few as random examples in another thread just the other day. I'm talking about yields grossed up for franking credits around 8-9% I wouldn't be waiting too much longer though. Demand for good yielding defensives isn't going to go away during this current bull run.

At the risk of starting another going around in circles discussion let my just drop one ASX ticker code into this discussion...

TLS

 

[MrBurns]

I disagree. Relative to the interest outlook for deposits I would say there is still some very good yields on offer, particularly if you can make use of the franking credits, which generally, any retired person should be able to do if they have organised their finances properly. I posted just a few as random examples in another thread just the other day. I'm talking about yields grossed up for franking credits around 8-9% I wouldn't be waiting too much longer though. Demand for good yielding defensives isn't going to go away during this current bull run.

At the risk of starting another going around in circles discussion let my just drop one ASX ticker code into this discussion...

TLS

You seem to be promoting TLS tinhat fom this and previous posts I've seen

 

[tinhat]

You seem to be promoting TLS tinhat fom this and previous posts I've seen

They don't call me "The Anti-Murray" for nothing :evilburn:

I just figure that TLS is a soft target for ramping. My handful of posts mentioning TLS over the past six months have done the trick - look at the chart!

 

[Ves]

I was im property so I was staying in cash in case I wanted to move quickly on something but there wasnt anything that interested me.

Thanks for clarifying, I didn't realise you were in property (I am sure others were the same). Helps put context to your posts. Cheers.