Quote:
Originally Posted by rustyp
Let's assume you have less than 5 years to live would you get out of the market now and wait for volatility to stabilize and then get back in ? Riding out the market and waiting for a comeback makes no money. Getting out now and getting back in at a lower point makes money when the comeback comes. Staying in for the long term is a good strategy if you have a long term. So if you are willing to play the odds on the stock market per history why would one not be willing to play the odds on life expectancy per history ?
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How do you know if this is the bottom or what the market will do over say the next 5 years. If this is the bottom your strategy does not work.
That is why dollar cost averaging is a good idea for the smaller investor.