[USER]

I have saved totally $180k throughout my life and my husband invested just the whole amount in Dell with average buy of $140..

We both are not financial experts, he did it without my knowledge and I’m regretting a lot for trusting him..

We have -35k in my portfolio because of it..

Can anyone explain will the share is expected to bounce back or I should reconsider my portfolio and do some arrangements..

Financial experts please advise..

He’s invested in my fidelity account

[Tom]

If it’s a taxable account, I would sell and take the loss, then invest back into an S&P 500 ETF.

Also, remove his access.

[John]

Your husband invested $180k of your money into a dinosaur company without telling you??

That’s so messed up.

It doesn’t matter if he bought AAPL or NVDA.

That’s still way too much concentration in one stock.

I would sell Covered Calls on it with $140 strike or slightly higher and hope it bounces back to get out of it.

That way you’re still making money while waiting for it to recover.

You can keep some shares if you want.

[Susan]

What else has he done without your knowledge? That is a big big trust problem.

That is too much money to do whatever with without talking to your spouse first.

Nope, nope nope.

[Dawn]

Sorry to hear that. Step 1: Take your husband off the account and/or change the password

Step 2: Don’t move it I pray recovers.

You still own the same quantity/number of stocks but at significantly lower price per share ex: $2 per share vice $120 per share.

If and when if rebounds (meaning the price goes back up).

You can sell then.

Step 3: Note to all don’t invest in single stocks or anything you don’t understand.

Most people don’t have enough cash to recover from significant losses in the stock market!

Reminder CASH is an asset class! Keep it cash until you understand.

[David]

Sell all of it now and buy into a SP 500 index fund. Also get rid of your husband

[Mel]

I’m just shocked he’d be so wreckless… I mean who buys only 1 stock and uses $180k!!! That just astounds me.

I would think any financially literate person knows the basics of diversification…

so that tells me he has no financial knowledge and shouldn’t have even touched $180k…

the fact he did it behind your back as well…

I’m just horrified.

I can’t imagine my husband doing something like that to me/us…

what else has he been doing and not telling you?

Does he control everything that’s yours?

I’d be having a very hard look at this relationship.

It’s not just about the money, it’s a serious trust breach that’s happened.

Sorry to be so vocal but I’m just gobsmacked.

[Luke]

I repeat and emphasize this point: Eat the loss and sell immediately. Not only is it outrageously risky to have all of your money in one company, but Dell is a mediocre company trading at a lofty valuation that it doesn’t deserve —

so much so that it would make a tempting short.

It’s also insolvent and loaded with tons of debt, thin margins, and a low return on invested capital.

As an experienced value investor and bargain hunter who is even willing to buy mediocre companies at the right price, I would not buy Dell even at a quarter of its current share price.

It seems to have become popular in meme stock circles among speculators who have no idea what they’re doing recently.

This story does not end well.

Get out now, take some time out to get over the loss and whatever it implies for your relationship, and then reinvest the money conservatively in a diversified index fund when you are ready.

You will not make up the loss by holding on to a bad company trading at a bad price.

It is already trading at a price far above its intrinsic value, so getting out now even at a loss is still a bargain.

More importantly, you should never have all of your money invested in a single stock for any length of time —

the risk is too high.

Dell is already insolvent and could very easily get into deep financial trouble in the near future.

It is quite possible that you could lose all of your money in short order.

Nobody can predict where the share price is going, and I can’t guarantee that it won’t go back up to your cost basis, but the risk of staying in is so catastrophically high that you should simply liquidate the position as soon as possible.

You can make back 35k given time and a conservative, diversified approach to investing and saving.

You will not easily make back 100k.

You could easily find yourself down that much or more, permanently.

Dell might never even go back to its current price level, for all anyone knows, and I would not bet even a small portion of my net-worth on it, let alone all of it.

[Steven]

Dell isn’t coming back nor is the money. You can sell it and take a $3,000 capital loss carryover every year for the rest of your life.

[Sarah]

I would wait for a bit because the fed announcement re: interest rates will certainly help it to recover, but once it gets even close to what you had, sell it all and put it in a broad market index fund until y’all know what you’re doing.

Also- DON’T let your husband anywhere near that money again.

[Allen]

Why on earth would you concentrate all your risk in a single company?

[Emily]

A lot of tech companies are down right now, I would wait for it to bounce back, but you could also move some of it to index funds

[Tristan]

Oofda. That’s gotta be a major crush to feel. No financial professional can give you specific advise on this as it’s outside of our scope to not look at all aspects of your situation.

But general advice would be an open and honest conversation with your husband about how money is handled moving forward.

Acknowledging that you aren’t financial experts and thinking through if you need professional help.

Then leaning in to the knowledge you did just gain, that putting all your eggs in one basket has consequences and, if you don’t hire a professional, that you will dig a little deeper in to how you divide things up in the future.

[Ruthie]

This is a relationship problem, not a money problem. There’s a million financial advisors, pick 5, pay for their opinion, & pick one.

Don’t listen to your husband & keep him on an incredibly short financial leash.

[Jim]

If you didn’t already own any, would you buy $35K of it today because you expect it’s going to bounce back?

If not, you have your answer of what to do…

[Luke]

Sell it immediately and put it in a diversified ETF. I am an analyst and recently analyzed Dell.

It is horribly over priced and fundamentals indicate it should trade at a small fraction of its current share price.

Never, ever put all of your money in a single stock.

And don’t let your husband touch it – he doesn’t know what he’s doing.

[Mark]

investing $180k in a single stock with no financial knowledge. thats bad about 20 different ways.

plus the infidelity.

research investing 101 and index funds and divorce lawyers.

u should not be buying single stocks

[Author]

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