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Wow! Even with the crash, wouldn't you have been better off getting the last five years of gains, especially given interest rates didn't match inflation?
by j4coh 2y ago
Wow! Even with the crash, wouldn't you have been better off getting the last five years of gains, especially given interest rates didn't match inflation?
- j4coh 2y agoI was curious, so checked - $500,000 in VOO 5 years ago would have been 1.18 million today - already accounting for the crash so far. The market would need to crash an additional 60% starting with the next open to get you back to your $500,000 break even. Maybe this will happen, but that's quite a fall.
- s1artibartfast 2y agoI'm not saying I have been sitting on them for 5 years, just that they are in cash now. 10/10 agree sitting out the last 5 years would be a mistake.
- j4coh 2y agoHow do you know ahead of time when to pull it out?
- s1artibartfast 2y agoYou make a personal evaluation that differs from the market and you act on it. You need a model of the world and to believe it is more accurate than the average. A lot of people felt the market was overvalued and would correct during the Trump presidency.