[USER]

This feels like a dumb question BUT… if I’m 100% S&P. If I move some to bonds and the market plummets – am I able to pull money just from the bond portion (so I don’t sell stocks at a low)?

Hoping this question makes sense.

[Allen]

If you are planning on withdrawing, don’t put in sp500. Use money market for short term. Stocks for the long haul. Bond funds, vs individual bonds, correlate stock market.

They do not offer the safety you think you are getting.

You really have to have an investment credo that you will adhere to through inevitable dips.

Otherwise, you will buy high and sell low, in an emotional roller coaster. You will never do very well.

[John]

Yes. This is the point of picking an asset allocation. You could be 50:50 stocks bonds. The stocks dip and you sell from the bond fund or vice versa.

Also, when the stocks are high you sell stocks to rebalance and capture the growth you realized.

Some people rebalance yearly quarterly or whatever you like

[Dave]

Most bonds are locked in until maturity. You might be able to withdrawal depending on who your broker is, but you will pay a penalty

[Mark]

U shouldnt be pulling money. The entire point is to be invest for the long term

[David]

The bond market has been terrible for the last few years. Short term government bonds is all I would consider

[David]

I am 80 percent s&p and 20 percent cash. I would go 70 30 but I will draw ss and a pension soon

[Author]

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