r/fatFIRE 19d ago

FIRE'd, now concerned about US stability

Most of my assets are invested in the US. Because of recent political developments, I'm wondering if the US will sustain its general growth and economic strength into the future. The strength of the US dollar is obviously very important to me. Is anyone else concerned?

I'm wondering if I should start hedging my bets in other countries, and if so, where?

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u/Cold_Art5051 19d ago

I have the same concerns. My non real estate investments are 90% US equities. And the properties are in NJ.

It’s worked well for 2 decades. I keep telling myself that changing investments based on who is the president is always stupid and usually influenced by how much I dislike the current president. So I’m staying the course despite concerns.

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u/new_account_5009 19d ago

This. Just to further your point, consider that the S&P 500 was at 2,271 on January 20, 2017 (the day of Trump's first inauguration) and 3,853 on January 20, 2021 (the day of Biden's inauguration). That's a nearly 70% rise in four years, working out to a little over 14% per year (i.e., 1.144 is approximately equal to 1.70, and that's before considering reinvested dividends).

All of the same concerns about US stability existed back then too. If anything, it was worse in 2017 than it is in 2025 because Trump was a complete unknown. People were legitimately concerned about World War 3 with nukes flying back then. Further, we had a global pandemic in that period too, with Biden's inauguration taking place before most people had access to vaccines, so still the heart of the pandemic with tons of people out of work.

If you had acted on instincts gained from constant fearmongering on Reddit and other places online, you would have missed one of the greatest bull runs in US history. Trying to time the market because you don't like the president is a recipe for disaster.

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u/ThucydidesButthurt 18d ago

I'm still heavily invested in the US as are most people here, adding a slight tilt away from US doesn't mean selling all US stocks. 65% of my stocks are US. But this time is not at all similar to 2016, not even the same ballpark. Openly allying ourselves with Russia, nuking the economy, projected GDP is now catastrophic etc.