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This is also noted. Do you consider the downside risk higher than the potential upside over the next 12 months? I am currently viewing downside risk as a higher
by tzebby49 7y ago
This is also noted. Do you consider the downside risk higher than the potential upside over the next 12 months? I am currently viewing downside risk as a higher probability than the potential upside due to a number of macro issues. Plus Warren Buffet just went to a cash pile.
- gbear605 7y agoIf your time frame is longer than seven years, then it just about always makes sense to leave your money in the market. Even if the market drops 20% in a crash, the market is up more than 20% now since people started majorly talking about fear of a recession a year ago, so it would’ve been better to put money in then than to avoid the market for fear of recession. There might be a recession in a year, but the market’s gains in that time might be bigger than the drop.
- jumbopapa 7y agoWarren Buffett recommends that the best way for the average person to build wealth is to invest in an S&P 500 index fund. Read some John Bogle and you'll get a good grasp on index investing and you'll learn that "time in the market, beats timing the market." Most people get timing completely wrong and end up selling at lows and buying at highs. You're better off dollar cost averaging and investing money consistently over time.
- the_watcher 7y agoBerkshire Hathaway (not Warren Buffett) is not who retail investors should be modeling their portfolios on.
- gbear605 7y agoIf you wanted to model after Berkshire Hathaway, you could just buy shares in them.