My IRA is heavy into Tech: 40% in Nasdaq index fund 40% in S&P index fund 20% in Tech stocks - Microsoft - 6.46% - Amazon - 3.05% - Google - 2.8% - NVIDIA - 2.66% - Apple - 2.34% - Walmart - 2.06% - Cisco - 0.71%
I am up 34% for the past 1 year, up 51% for the past 2 years.
Every evening I look at my account with amazement. In the past 38 years I have been through MANY of these bubbles (and always came out ahead, eventually).
At 58 I am planning on retiring in 5 years.
I am talking myself into selling 70% of my tech holdings and move it into the S&P 500 fund. I know that when the bubble pops the S&P 500 will take a hit, but not nearly as hard as the tech market. In the past 38 years of investing the NASDAQ always peaks higher then the S&P and always bottoms lower than the S&P. My thinking is that when the bubble pops and the bottom hits my bottom won't be as bad in the S&P as it will be in NASDAQ.
Any thoughts?
Should I move 35% into S&P (for ~60% total) and 35% into something even safer still leaving a few % in tech? What would be safer than a S&P fund? A Dow-Jones index fund? Is there a good banking, healthcare, real-estate fund that would be better than a DJ index fund?
I would love to hear other people's thoughts and strategies? I have NEVER used a financial advisor... they are all crooks! I don't see starting to use one now.