All tagged Investments

We Sold Some Investments: Putting Our Version of the 4% Rule to the Test!

We Sold Some Investments: Putting Our Version of the 4% Rule to the Test!

Ruth
ETFs, Index Funds, SmartShares, Sharesies, Kernel

In early May, Jonny and I made a call; we decided to sell off a portion of our investments to supplement our lifestyle. There is no drama, and we are not doing this due to inflation or the current cost of living; the simple fact is that our journey with money continues. For those who have followed along from the beginning, you’ve seen us slowly growing our net worth in readiness for it supporting us in early retirement. We are not there yet, we still need to work for an income, but we are well underway with our early retirement plans. What has changed is that there are things we want to do now that we need money for now.

What does ‘locking in your losses’ mean?

What does ‘locking in your losses’ mean?

Ruth
Investment, KiwiSaver, Retirement, Simplicity

In mid-March, I happened to have RNZ on in the background when one of their guests mentioned that they got such a fright at the drop in their KiwiSaver balance that they immediately switched from a Growth fund into a Conservative fund in an effort to stop themselves losing money. I remember stopping what I was doing and smacking myself on the head in a Homer Simpson ‘DUH’ moment and saying out loud to myself “Noooo. What did she do that for? And why did she have to say it on the radio where other people might think it’s a good idea to do the same?”