Yeah, this time it was my fault — in the midst of a long conversation about taking the emotions out of investing and making finance boring, I dropped a line about cat food tacos. So once again I am in the click bait headline machinery.

Actually, the heart of the advice was from the asset allocation articles in the WaPo (here and here) essentially “ Invest Boringly.”

It looks something like this:

Have a plan.
Execute it faithfully.
Be diversified.
Contribute regularly.
Max out tax-deferred accounts.
Be an asset allocator.
Think long-term.

Not exactly radical, but “Cat Food Tacos” will generate a lot more clicks than “invest boringly.”

Here’s the video:

click to start video
cat food tacos

 

Source: Ritholtz: You Can “Eat Cat Food Tacos In Retirement,” Or You Can Do This… (Yahoo Finance)

Category: Asset Allocation, Investing, Media, Video

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

12 Responses to “Unsexy Finance vs Cat Food Tacos”

  1. Moe says:

    I don’t envy you having to watch your every word…I’d be toast..

  2. PeterR says:

    At least the headline quoted you accurately apparently, in contrast to yesterday’s Yahoo Finance headline that gold “will bounce to 1400.” Curious whether you asked the Yahooligans about their extreme liberty in mis-quoting you and leaving that inaccurate headline up most of the day IMO.

    You do have the choice of not granting them further interviews, per the neat videos posted yesterday, unless they mend their nets?

  3. lemongreen says:

    Barry,
    What do you think about Roth 401K for those whose employer doesn’t match, in their mid 20s and have a relatively low effective tax rate?
    Thanks!

    • Roth IRAs or 401ks — pay taxes NOW rather than on withdrawal — depends upon your income and tax bracket now and your expected income and tax bracket when you retire . . .

      It should be a fairly simple calculation but requires a best guess as to rates and earnings — so its not a science

  4. capitalistic says:

    There is room for cat food taco investing as long as it makes sense. Problems come when people acquiesce to “cronut” investment strategies.

  5. grandwazoo says:

    Those articles are great advice: basically pick an asset allocation based on your risk profile and re balance as your allocation %’s get out of whack that way you sell equities high and buy low. That strategy would serve anyone well over the long haul, it’s the only proved method that will work for dummies like me. The only question I have now is what allocation of bonds is safe? Might be less than it was in the past for example if you were a 60/40 stocks to bonds might that be too much risk?

  6. ByteMe says:

    I know I can find the dog food tacos at Taco Bell. Who’s selling cat food tacos?

  7. Stuart Douglas says:

    I have not watched the video yet, I will tomorrow, but from the tone you make it sound like cat food tacos would be bad.

    We have a couple of cats with medical needs/allergies, and if eating venison every night is too tough for you then you wouldn’t like their diet. ; )

    • True story: When we lived in Manhattan, we mostly ate out — it cost the same as cooking at home cause the local supermarket (D’Agstino, Gristedes) were idiotically expensive. We mostly avoided the supermarkets except for small little purchases.

      One day, we are buying three items — Cans of catfood, Salsa and Taco Shells.

      As we check out, I say to my wife — in a voice loud enough for the cashier to hear:

      “YOUR SURE NO ONE WILL BE ABLE TO TELL?”

      We still chuckle about that one.

      But thats the origin of the phrase Cat Food Tacos . . .

  8. Frilton Miedman says:

    Is BR second guessing his political correctness?

    To me, it seems the Ritholtz trademark is shooting from the hip, against the grain, to get necessary attention for important issues….”Damn the torpedoes, full speed ahead!”

    I can appreciate a blogger with name recognition who isn’t afraid to inform the occasional moron that he’s an “asshat” for, say, proposing tax cuts for the wealthy will benefit the poor without empirical backing, just as I can appreciate a sensationalist “cat food” reference to get attention to the importance of asset allocation or quarterly portfolio rebalancing.

    In other words, BR seems to me to have become the “Dr Phil” of sorts in the economics and investing blogosphere, the politically incorrect anti-wuss of of the insincere, often misleading world of finance advice.

    Please, don’t get mushy on us now, we need ya!

    • Dr. Phil of Investing? LOL Where’s Oprah? Where’s MY daytime tv show?

      I don’t know what else to tell you — its the same line of bullshit I have been pushing for a decade.