GTD and investing

In June 2011 this year, when I was looking at my investment accounts, I noticed that it had fully recovered from the nearly 40% drop since March 2009.

I was in the middle of selling my house, moving into a new rental, planning for a wedding for next year and starting an investment in a restaurant. I asked myself how I would feel if the market dropped another 40 percent. Was I mentally ready?

The answer was that I was going to very stressed *and* I might be tight on cash flow.

I immediately liquidated all stock mutual funds out of my 401K, 529 plan,education plan for Cate, Cate’s custodial account and my investment account. I moved everything into the Vanguard Total Market Bond fund.

The reason I am writing is that I had put a note for myself in to evaluate the decision 2 months later. And today is that date. This is how using a GTD system with tools like RTM is helpful.

In hind sight, I was very lucky to be out of the market when I am in need of feeling less stressed.