Folks who think they are "rich" by their portfolio or home values should read this 
All that money you've lost — where did it go? in: Subjects › General Economics |
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Folks who think they are "rich" by their portfolio or home values should read this
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What a useless article. The reasoning they use to declare stocks and home values aren't "real money" can be applied to anything and everything. Cash is different? No it's value can change. Gold is different? No it's value can change. Anything you own to store wealth is simply something you will trade for goods you desire in the future. Anything can change in value, there is no way to store wealth without this risk. What a useless article.
you lost the money only if you exit...
ES
Wealth can both be created and lost but many people do not understand the concept. They just think it is "redistributed" and passed around.
I'd like to think it's passed on to a far far better place. But I can't really do that, as there's no better place for a dollar bill than in my pocketbook. Oh well, easy come, easy go.
In a way it amuses me to think about all of my combined losses over the years. Wow, if you had told me 30 years ago that I'd have the opportunity to lose that much money I would have said 'what is money?'. I really need to call USAA and ask them what they think my house is now worth less to cut off my HELOC. It's probably worse than I think, but I really am hoping to get to a 7 figure loss this year. Not many monkys have 7 figures to lose you know.
you lost the money only if you exit...
I think that's why they call them unrealized losses. Because the people that have them don't realize they have lost money.
ElectricSavant said:you lost the money only if you exit...
ES
you gained the money only if you had exited
Where does the water go when you flush the toilet? Well, it just disappears down the drain. imaginary wealth from stocks = water
WalStMonky said:I think that's why they call them unrealized losses. Because the people that have them don't realize they have lost money.It is nice of you to point it out. I never would have >realized< that.
Under the couch cushions? Thats usually where I find lost money
my point exactley
germanpope said:ElectricSavant said:you lost the money only if you exit...
ES
you gained the money only if you had exited
Last night, it all went to Roulette....f-ing ball...
Ask my red-haired wife and the damn kids.
It went into your clothes dryer.... and the left sock took it all and DASAPPEARED!!!
mnsweeps said:Where is it?
Folks who think they are "rich" by their portfolio or home values should read this
Long-legged hookers and clean cut blow
WalStMonky said:
I think that's why they call them unrealized losses. Because the people that have them don't realize they have lost money.
Good one.
Most of the 8 trillion that has been lost this year in US stocks is not gone.
It has reverted to its true form.
Toilet Paper.
That article is dead on. Too many people equate stock wealth with money. No, they're just convertible to money. Dollar bills are money. People see the dollar value of their stocks go down, but most don't look at the number of shares they have. They don't bother to think, "I still own the same percentage of the US stock market that I did yesterday." Thinking that way puts things in perspective for me at least. Green for thinking with your brain instead of your wallet.
MrManganese said: Too many people equate stock wealth with money. /cough*/ Bill Gates /*cough/
i see folks around me talking it's cheap to buy now and they are getting ready to pump money into the system . the author didn't talk about the demand and supply equation for housing and stocks . When it gets cheap it will become affordable and people will jump on it . see what happened after the dot com bust and low rates thanks to Greenspan .
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