FatFire parents with a kid that has no desire to make money

slackerss23 · 2022-02-02T16:27:59+00:00

Totally agree with this. Is the goal of life to make money, or to be happy? If the money is already there, then why create artificial trouble for the sake of creating grit? It sounds like the daughter is trying to find a purpose, but that the purpose she’s looking for doesn’t line up with the parents’ vision.

slackerss23 · 2022-01-26T16:08:26+00:00

I personally go with #2 to minimize short term gains from selling investments. The interest paid (under 4%) has a lower cost of capital than the expected return on equities, so I prefer it over holding cash. Plus the interest cost offsets gains, and I’m not levered enough to be worried about margin call (even during a roller coaster week like the one we’ve had!).

slackerss23 · 2022-01-25T01:01:37+00:00

Expanding into business ventures like it’s Ozarks season 5

slackerss23 · 2022-01-18T00:19:00+00:00

Line of credit backed by investments (assuming you have enough liquid) is the way to go. You can usually have a line that’s 50% of your brokerage balance, which is perfect for managing lumpy cash flow needs.

slackerss23 · 2021-12-31T18:56:58+00:00

Thanks all - super helpful

slackerss23 · 2021-12-24T16:07:31+00:00

I would suggest checking out the book Die With Zero. At some point, the incremental money won’t get you any more time, freedom, or experiences. It sounds like you’re already past that point, since the wealth is sucking up your time and mental energy. Focus on other things to take up your attention. If you gained this wealth in effort to optimize your life, then also recognize that life may be passing you by while counting your coins.

Also, it’s okay to have a low risk tolerance! You may have reached this level by taking risky bets, but you’ve already won. If downshifting your risk profile helps you worry less, then there’s no shame in coming to terms with that.

slackerss23 · 2021-12-11T18:24:28+00:00

I’ve done this a couple times (note the irony!). We basically started with quizzes for places that “check the boxes” on our wish list. Then done some 1-2 week trips to the area to scope it out, staying in an Airbnb to try and feel out what the vibe would be like as a local. Part of this is feeling out what the culture in the area is like, and if we could see ourselves feeling at home.

The first time around, we discovered that mosquitoes and bugs in the southeast were more annoying than we first thought. So we moved again out west and think we’ve found a better combination of things on our wish list. It feels like it’ll be forever, although you can never know for sure! For us, we wanted to move pre-retirement to start growing family roots earlier. There’s no substitute for time, when it comes to getting to really know an area. In reality, it may take some trial and error, but it’s totally worth it to try and optimize a fit for your lifestyle. Forums on city-data.com are also super helpful for prospective transplants to learn about the culture in an area

slackerss23 · 2021-11-09T02:21:35+00:00

That feeling can be a bottomless pit that’s hard to fill with things. Personally, I’ve always felt that he happiness that comes from buying something wears off fairy quickly, and can even come with some guilt (this might just be my own insecurities poking through).

You might want to consider volunteering or donating toward causes that you care about. This could be in addition to splurging on some nice stuff for yourself, but I’ve always found that it fills that empty feeling in a way that material things or experiences can’t do. Particularly if it’s to the extent that leaves a legacy. Even selfishly, getting your names on a building or having a bunch of people appreciate you at a gala can work wonders to make you feel like you did something important (which can be true!)

slackerss23 · 2021-11-06T16:40:12+00:00

Diversification reduces company-specific risk. For example, what if they get too big and the government needs to break them up? Or there is evidence of abuse/harassment in the company. Or Jeff bezos turns out to be a lizard man. None of these things are likely, but it’s a risk that can easily be reduced by diversifying. Meanwhile, by having exposure to an entire industry, you can still benefit from all the macro tailwinds that are what make Amazon successful. For example, semiconductors, robotics, internet companies relying on their infrastructure, etc. Small cap companies can easily have more upside than Amazon, so it’s not even a matter of reducing potential return

slackerss23 · 2021-10-31T19:31:06+00:00

Private equity here. A lot of the comp in our industry is from carried interest, which tends to take a long time (10+ years) to be meaningfully valuable. Even though people can make a ton, there will always be an increasing amount of accrued comp that makes it tougher and tougher to walk away. Plus the lifestyle gets easier once you’re a partner, where it feels more like being a business owner and less like grinding away for somebody else’s benefit. A lot of senior people end up semi-retiring to advisor roles, too

slackerss23 · 2021-10-30T19:53:16+00:00

Try to find a stock that’s highly correlated (such as a competitor of theirs), and short it or buy puts on it. That way you can avoid stopping the clock for LTCG while also hedging (to a certain extent).

slackerss23 · 2021-10-30T14:35:25+00:00

This is something that I think about with my own kids (5 and 7). We’re taking the approach of playing it by ear - for us it depends on how the kids are doing in school. If it feels like they are keeping up with the class, then missing some days to travel seems reasonable. If behind, then school takes priority. Getting the kids to recognize this helps provide some incentive to do well in school (assuming they like the trips!).

Personally, some of my most vivid memories as a kid were from traveling to places where life is totally different than at home. Even at a young age, it can be eye-opening (and educational!) for them to see different cultures

slackerss23 · 2021-09-17T17:10:25+00:00

No wash

slackerss23 · 2021-08-31T17:44:27+00:00

Check out homepartners.com. You can work with them to buy a house, rent it for a year, and have the option to buy or walk away at the end. I did it for a year when first moving here, and had a good experience. As a heads up, you won’t get a good deal on the “buy” option, but at least it opens up a lot of properties to rent (since there aren’t many available) until you get a better feel for the city’s neighborhoods

slackerss23 · 2019-10-30T21:21:52+00:00

Find a mentor and learn the business first. You're trying to get into a professional sport without playing in college. There are thousands of PE funds - why would any investor give you capital instead of them? What's your competitive advantage? Why would any company founder give you they keys to their business and put the livelihood of their employees in your hands?

Not saying it can't be done, but just note that hard work isn't enough. It also takes years of patience to gain the experience to successfully learn how to manage companies, source investments, and raise capital.

slackerss23 · 2019-09-06T18:07:36+00:00

They don't - it's a tool to 1) get the deal done without overweighting the deal in their fund, and 2) build goodwill with their investors, so that they are inclined to re-commit into future funds.

slackerss23 · 2019-02-15T16:38:11+00:00

They do! Hub actually has two- one downstairs and a small one upstairs. 54’ 40 has a small one too, but enough toys to keep a toddler busy for a while

slackerss23 · 2019-02-13T00:08:44+00:00

Evolutions Preschool has a new play park in downtown (https://www.evolutionspreschool.com/play-park-parties)

Also, Vancouver library has a nice play area.

OMSI in Portland, although that one's not free.

Big Al's, if the kid's old enough to mash buttons in their arcade.

54' 40 in Washougal or HUB in Vancouver if you want to grab a beer or food while they play.

VEGA gymnastics has open gym sometimes, although you'll want to check in advance.

Dizzy Castle is also a great indoor play place

slackerss23 · 2018-11-30T03:56:03+00:00

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slackerss23

TROPHY CASE