Ask Terry Questions Investments


By Terry Savage on January 26, 2014 | Investments

Dear Terry:

I miss you in the Chicago Sun-Times. You were one of the main reasons I even read that paper. You , over the years answered a few questions for me and maybe you could answer another. I am in my early 60’s and am retired from my job of 34 years, but still working part time in a related field. I have after taxes about $8200 a month, with no major bills. The house is paid off, so daily living expenses like food, electricity, gas etc. are all the expenses I have. I have over $300,000 in stocks ( General Electric, Procter & Gamble, Home Depot, Merck, McDonalds and Vodafone) and Stock Mutual Funds ( Vanguard 500, Total Stock Market Index, Wellington, Windsor II, International Growth Stock and Total Bond Index. Also T.Rowe Price Equity II and Fidelity New Millenium) I am considering buying either Exon-Mobil or Pepsico. I can invest about $5500 monthly and plan to continue to invest monthly into what I already have, since they have done pretty good.. I am in an automatic investment for G.E, Procter & Gamble, Merck, Home Depot and Vodafone. I invest regularly in New Millenium and Equity Income. I also have about $1000 in Vanguard Prime Money Market, but because of interest rates, that is just keeping the account warm. ANY SUGGESTIONS.ABOUT EXXON-MOBIL or PEPSICO?, or anything in general

Thank You.

Terry Says:  Well, it looks like you’re doing very well on your own!  And given such a diversified portfolio, you must have had a great investment return over the past few years.  I don’t make specific stock recommendations.  But I would caution you to have a pool of liquid capital, just in case (so you won’t have to sell during a downturn to meet your expenses).   And make sure you have everything else in order — estate plan, power of attorney for healthcare, etc.  Then enjoy life, and keep doing what you’re doing!



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