Webcast excerpt: When is the right time to start investing?
Transcript
I’m reminded of a quotation from the wonderful Wayne Gretzky, “You pass up 100% of the pictures that you don’t get.” And that is genuine for the markets as well. The magic of compounding Greg talked about: You have to be in the market to have the magic of compounding. Returns are pretty punchy in the market. There are up days that are unpredictable, 2% below, 1½%, three% there, and then it stops. And you cannot wait and guess when that will happen. And at the outset I advised you that you cannot also guess where by valuations are high. You cannot presume that it won’t happen in the foreseeable future. And so what we say is you must get invested. Get in the markets. Start taking part.
Now you could be unpleasant undertaking it in a lump sum, so what we would suggest is to feather it in around time. Do what is named dollar-price tag averaging. Take 6 months and set that cash to perform for you around the course of individuals 6 months. You don’t have to do it all at just one time for the panic that tomorrow is the working day the market goes down. But don’t sit on it for too extensive mainly because no just one knew the market was likely to get off just after March, and Greg and I cannot inform you what is likely to happen in 2021.
But what we can inform you is that if you’re not invested, you won’t get any good return.
Important info
All investing is subject matter to possibility, such as the probable decline of the cash you make investments.
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“Webcast excerpt: When is the correct time to commence investing?”,
