Thread: I Fund dying?

Think about how hard your dollars are working and how many shares you can buy at the current prices - accumulation for the long term is an objective.

Yes BUZZ, i asked yesterday about the volitility of the I fund and would be interested to hear some input from others well versed. It seems that the problems in greece need to be over before gains are realized on that fund. I get the dollar cost averaging, but also i look at it this way....isn't it better to wait a few weeks until the situation resolves itself overseas before jumping aboard? I am new to this also, but i feel that putting $$ in that fund now is like jumping aboard a ship going down. I guess i sleep better at night knowing that i dont have anything in there now. When the market is good, i feel better about the I fund..but i guess that goes for the whole market. Good luck to us both.

Welcome to the Message Board BUZZxKILLINTON. That is the BIG Question, which way is the market going if I could answer that one I would be rolling in Bucks. The market is very volatile now and jumps up and down on any whisper of changes in the condition of the World Market, trying to out guess that and call a bottom is very risky. The action in the last 3 days has been encouraging but could turn around in a minute, when it does decide which way to go it will be drastic if to the upside or the downside, and the "I" Fund is the worst. I'm in the same boat and being very careful.
Best of luck
Norman

I can remember just a few years ago when the I fund was the place to be. Investing is for the long haul and you have just started. You have time to wait for the fund to get back to your purchase price, if you want. It comes down to risk. Are you comfortable with the position you are at now? Are you will ing to take a little more risk? Unless you cash out, you haven't lost any money. Your account just has less value. Over time the value of your account will increase. Good Luck.

Greece is only a tiny, tiny portion of the I funds holdings. The single biggest country in the I fund is Japan.

The value of I fund varies- sometimes is grows faster, sometimes slower, sometimes it takes a big hit. I fund is just one part of an overall portfolio. Learn more about it, and about the other funds, and you'll have to make your own decisions on where to put your money. It's all up to you.

Hi Buzz! One major factor for the I-fund is the strength of the dollar. The I fund has tanked lately because the Euro has become so weak because of the European debt issues, and that has strengthened the U.S. dollar.

When the dollar goes up, it takes fewer dollar to buy something that remained fixed in value. Thus a rising dollar will make the I-fund (and other funds, but more so the I-fund) worth fewer dollars.

Wow, a lot of great information, the main reason I decided to join. Thanks for the info, I guess im sticking in there for awhile.

The buy and hold stratagy is one way to look at the market, and it might be the right stratagy for you. The theory being that you will be in the market during the ups and during the downs, but overall the market will steadily incease. However, that theory has not been the case over the last 12 years. Their were a few articles publish in 2010 were market stratagist coined the phase "the lost decade" in relation to the market having zero growth from 2000 to 2010. It has been referenced again lately to the effect that the losses of this year have wiped out last years gains. If you want to know more google "Stock market the lost decade".

My personnal analogy about the buy and hold stratagy is more like continuing to play Black Jack while you are lossing, and justifying it becuase eventually you have to win a hand. I perfer to leave a table I'm lossing at and try to find a hotter table, it might be the right move it might be the wrong move, but that's the move I make.

I pulled my money out of the I fund and put it in the F fund

Buzz,

You are in the two most aggressive funds of our five choices. If you want some stability put some of your assets in the F and C funds. The C fund is still equities, but it bounces around less.

Always contribute into C/S/I - or even S/I. Gives you a chance to invest when the prices are low.

Doesn't look dead this week

The I fund, compared to the C & S, is like an undervalued stock. If you believe the rest of the world will recover and time is on your side it's not a bad play.