The Aero Monorail Company of St. Louis

The Aero Monorail Company of St. Louis

The Aero Monorail was a futuristic monorail train that first hit the market in 1932. Manufactured in St. Louis by the eponymously named Aero Monorail Company, it was designed to suspend over Lionel standard gauge track and run  faster than the standard gauge train.

The stands came in two varieties: a pair of free standing towers, and a series of towers that slipped under Standard gauge track and used the same 42-inch diameter. The motor looked like an Erector motor and ran on 6-8 volts, either DC or AC.

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Marx train sizes

Over the years, Marx made electric and clockwork trains in no fewer than seven sizes and two gauges. Depending on how you count Marx train sizes, you can say it was more than that. Here’s an overview of what they made.

If you go to sell Marx trains, correctly identifying the size definitely makes them attract more bids.

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Marx vs. Lionel

In the 1950s, Marx and Lionel took turns being the biggest toy company in the world, largely riding on the popularity of O gauge trains. Neither company particularly liked the other, but both owed some degree of their success to being compatible with one another. Because of their interoperability, the two makes of trains are frequently compared and contrasted even today.

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How to disassemble a Marx 490 locomotive

How to disassemble a Marx 490 locomotive

Disassembling a Marx 490 locomotive isn’t too difficult, but it’s very different from other Marx locomotives.

Once you take one apart, though, you’ll see why it was designed how it was. It was Marx’s lowest-cost locomotive, and it could be assembled without tools, so the labor costs were minimal.

For that matter you only need one tool to take it apart, and since there’s so little in it that can break–not even a headlight–you can find anything you would need to service it at the nearest hardware store or auto parts store.

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My third 1935 Goudey: Luke Appling

The third 1935 Goudey card I bought featured four members of the Chicago White Sox, including Hall of Famer Luke Appling. But Luke Appling wasn’t the reason I bought the card.

I bought the card for George Earnshaw and Jimmy Dykes, in that order. Neither of them are Hall of Famers but they mean something to me. That’s the reason we buy a lot of the cards we buy.

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Set up your retirement account. Just do it. Then forget it.

My new mortgage company wants to see the balance of my 401(K) account. That turned out to be a bit of a problem, but for the right reasons.

You see, I might or might not get 401(K) statements. I don’t look at them. Sometimes I save them. Usually I don’t. So I hadn’t looked at my 401(K) balance in years, and I really only had a vague idea what was in it. I knew there ought to be enough to make the lender happy.

What I found when I finally got my hands on a statement shows why part of my strategy is to never look at the account. Read more

Some stock advice from the Post-Dispatch

I found this warning about trying to time the markets in the St. Louis Post-Dispatch over the weekend. The warning was that 2009 was when the stock market bottomed out. Nobody predicted that was when it was going to happen. People who were buying stocks in 2009, when things looked bleak, are sitting much prettier than people who weren’t.

Although the economy as a whole is still a bit shaky, the stock market has had a historic run from 2009 to now. It just goes to show that the markets are fickle. Very fickle.

When the market was sinking fast and hard in 2009, I saw an opportunity. The fortune my grandfather made in the Great Depression is something of a family legend. (Where that money went is another legend that I’m not interested in speaking about.) That year looked like it might be the best opportunity I would see in my lifetime, so I sunk every dime I could into my 401(K) that year and encouraged my coworkers to do the same, though the most vocal of them were certainly talking about how much of a waste of time the 401(K) was, as far as they could tell.

I don’t know how many listened, but those who did probably are glad they did.

You can’t time the market. The best you can do is buy whatever is cheap. Take the emotion out of it. Set it up and make it automatic. Buy stock every payday by having automatic withdrawals, set a mix of blue-chip stocks, growth stocks, small company stocks, and bonds, and set the portfolio to rebalance. Some years it’s been the big companies that made the best return and some years it’s the small ones. Rebalancing forces you to buy low and sell high, to take last year’s profits and turn them into next year’s.

Remember. The market is fickle. It’s not God, and it’s not infallible. It’s actually very fickle and stupid. The way you beat a fickle and stupid market is by not being fickle. Don’t trust the market. It’s not trustworthy. Exploit the market.

I’ve had financial advisors try to sell me other gimmicky investments over the years. None has come close to matching the simple formula of evenly dividing holdings between those four categories in plain, simple no-load index funds. (You may have to settle for a managed fund for your growth holdings, but that’s OK.) Then rebalance. Whether it’s better to rebalance once a year or once a month or once a quarter is unclear. Your 401(K) may only give you one option anyway, so don’t obsess over it. The important thing is having a schedule.

When I was still in my 20s, I lost most of my retirement savings to poor management. I don’t intend to repeat that.

Oh, and one more thing: Don’t look at your financial statements. Toss them in a drawer in case you need them. The only time I look at them is when I’m trying to get a mortgage. Real estate is cheap, but stocks are expensive, so I’m buying real estate. I have to prove I have six months’ worth of mortgage payments stashed somewhere to get a loan, so that’s when I look at those statements–and then, just to make sure the big number is big enough, and that I’m putting it right-side up in the scanner.

The Marx connection to Hafner

Hafner was a Chicago-based maker of clockwork-powered O gauge trains during most of the first half of the 20th century. The trains were inexpensive but durable. William Hafner developed the clockwork motor as a hobby around the turn of the previous century and put the motor in toys. Eventually he decided to make a train–perhaps he thought his two sons would like one–and he did. He even sold a set or two, but didn’t have the facilities to mass produce them, or the money to buy such a facility. So he approached William Coleman, who had an interest in a struggling farm tool company, and after Hafner secured an order for $15,000 worth of trains, Coleman agreed to use the company’s excess capacity to produce the trains.

And so began American Flyer, the company that battled Lionel for the hearts and minds of train enthusiasts for about sixty years.

But for reasons that Coleman and Hafner took to their graves, the partnership dissolved in 1914. The sons didn’t know exactly what happened. John Hafner said Coleman had promised his father a larger share of the company if the trains proved successful, then broke his promise. John Hafner said the two families had animosity afterward. But Robert Hafner recalled receiving wedding gifts from the Colemans in 1917, and said the dissolution was purely for business reasons. Going it alone, William Hafner formed his own company, rented factory space for $50 a month, and started a product line that would last into the 1950s.

Unlike his erstwhile partner, Hafner didn’t have to deal much with Lionel. Hafner’s greater concern was with this upstart named Louis Marx. Read more

Just reach for it.

I lost a college classmate this week.

We weren’t close, so I didn’t take it as hard as some of our newsroom-mates undoubtedly did. But at the very least, as a human being with a soul and with two kids, I feel bad for the wife and two kids he left behind. It shook me up enough that a couple of my coworkers asked me Wednesday morning what was going on. I told them.

“Don’t try to make sense of something that doesn’t make sense,” the smartest guy in the room said. Read more

Is landlording profitable?

Is landlording profitable? The answer is yes. Where people disagree, I think, is on the timing, and perhaps to a lesser degree, on the strategy.

My wife read an article yesterday on real estate investing that made her mad. I’d link to it, but I can’t find it today–maybe it was pulled. But the premise was that you shouldn’t invest in real estate, because being a landlord isn’t a quick way to get rich.

I agree with the second part. But the first part doesn’t logically follow. In fact, I don’t care who you are, probably the best thing you can do for yourself is forget about trying to get rich quickly. I speak from experience. Read more

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