4 ms·
General philosophy: Buy ETF that is (1) below at least 52-week lows and below Dec 2018 price point (2) too big to fail (i.e. large market caps), preferably with
by sytelus 7y ago
General philosophy: Buy ETF that is (1) below at least 52-week lows and below Dec 2018 price point (2) too big to fail (i.e. large market caps), preferably with investments from big wall street+political influencers (3) diversified, and (4) you have reasonable assurance of rebound in 1 year time frame.
With this, I think good buys are XLE, SPY, VFH, VNQ.
- raincom 7y agoAdd XOP as well, which can act like a LEAP call now.
- skookum 7y agoMany people would argue that your fourth criterion rules out all options. We're in historically unprecedented territory - there is no reasonable assurance of anything. The broad market is 30% off recently-set all-time highs. Whether it will go down a lot more or not is unknown. If the damage to the economy is sufficient it could take years to recoup a broad market investment made even at today's 30% off ATH level.