Given this week's market volatility, are you BUYING new investments or SELLING existing ones?

2016-01-14T08:46:28-05:00

Baron Rothschild, an 18th century British nobleman and member of the Rothschild banking family, is credited with saying that "The time to buy is when there's blood in the streets." He should know. Rothschild made a fortune buying in the panic that followed the Battle of Waterloo against Napoleon.

Response by CW4 Private RallyPoint Member made Jan 14 at 2016 8:53 AM

2016-01-14T08:53:58-05:00

Buy low, sell high!!!

Response by LCDR Ben Bines made Jan 14 at 2016 9:19 AM

2016-01-14T09:19:28-05:00

ETF Asset Flows from Jan 1 to Jan 7 2016 (etf.com):

It's one thing to say "buy low, sell high", but it's another to execute on it. The best investors control liquidity so they can weather market downturns without being forced sellers.

Response by LTC John Shaw made Jan 14 at 2016 9:38 AM

2016-01-14T09:38:55-05:00

Like most people I continue to purchase and dollar cost average into the market.
My purchase of investments is effectively on auto pilot and will be for the next ten years. Having a diverse portfolio helps not run out of equity investments just because of a downturn

Response by SSgt Private RallyPoint Member made Jan 14 at 2016 10:48 AM

2016-01-14T10:48:01-05:00

when you play the game of "Stock Market Investing" you have to keep in mind that you're playing the long game!
The only time you really want to sell or withdraw money would be 20-30 years down the line.By that time you would have gained considerable amount of money since your original investment. lets say you invested 10 dollars today and by the end of the year you have $100. then the market crashes and now you only have $30. you freak out and sell because you lost $70.
This the wrong move because in reality you gained $20. What you should do is buy more stock at the lowest price even if you are losing money on your investment because when the stock market rebounds, you have more investments making you money.
over long periods of time the stock market steadily rises so in 20 years time your $10 investment will be 2000( if you gain $100 per year for 20 years) and if you bought many more stocks when the market crashed then you would have that money multiplied by how many stocks you own.
Thus making you rich.
this isn't the "get rich quick scheme that most people want0," that only happens is if you invested in company the revolutionized the industry with some new streamline production method or if the company was the first to invent something that every one wanted (example, the IPOD, laptops, cellphones, etc...) the n your Investments will skyrocket.
Essentially, the stock market is a big gambling machine where you play the numbers.

Response by LTC Steve Mannell made Jan 14 at 2016 12:26 PM

2016-01-14T12:26:33-05:00

I'm sticking with my asset allocation plan, adding more to the pot every month, and rebalancing when it makes sense.

Response by SGT David D. made Jan 22 at 2016 1:55 AM

2016-01-22T01:55:08-05:00

So long as the fundamentals are sound, BUY and keep buying. in the long run you will be ahead of the game. During the last down turn some of the guys I worked with started dumping because the price tanked. they where crying about all the money they "lost". I tried, and for the most part failed, to teach them "you haven't lost a penny until you sell and lock in the loss" but if you keep buying and ride the cycle back up you will have a lower dollar cost average, and end up ahead of the game.