I see people making dire warnings endlessly. Even with the cheating and insider action that goes on playing wall street is easy.
Buy good investments--or better yet good long term growth mutual funds or index funds--and hold them. As you get closer to needing the money you might want to steer your mix towards a higher component of bonds.
The turtle wins that race every time over the person who frequently has money in cash on the relatively few good market days--or chases yesterdays top performer.
I don't see strong growth market soon but people have short memories--if bonds come back--they haven't done much in a long time--you can do well with a mixed portfolio. At retirement we are close to set if our portfolio returns just 4 percent and I expect we can do a bit better than that.
The biggest position by far in our retirement funds now are what they call balanced funds--usually try to maintain a 60/40 split of equities to bonds--in low fee funds from Fidelity, T Rowe and Vanguard. I don't need sky high returns at this point in life and know chasing them is a fools errand.
Good example of what I am talking about. I haven't much in small cap funds in years, they haven't compared well with other styles or index funds. That is projected to change and we moved some into them to the tune of maybe 10 percent of our mix. Lost money in them but slowly been creeping back, if market close today is where it's at now they will all be in the black poised for even more growth as the rate cut impacts get rolling soon.
Someone chasing immediate performance would have dumped them shortly after buying into them.
Not sure what to think about the rate cut or cuts. Many want a bigger one right away, but others claim that might actually have a reverse impact on the market--a 1/4 now followed by a quarter later this year or more would be a smoother path I think, curious to see what the fed does.
on your success I hope retirement treats you well.
