Hi there, I sold all my stocks in February (4% below peak) and I don't know how I should reenter the market. Should I dollar-cost average over the next year or should I buy back everything at a 20% discount? I won't probably need that money before 10 years from now.
I have a specific set of philosophies and that drives my investing process. Perhaps you have some ideas and philosophy you could lean on, at a time like this? Cathie Wood, CEO of ARK Invest, believes we are in a market climate similar to the events associated with the 1987 Black Monday crash. That crash involved the market going lower than anyone expected and bumping off low after low for a long time. Cathie runs the most successful hedge fund going, as far as I know. She seems pretty rational, to me. I don't follow Cathie particularly close, other than when she is talking about her own funds. She is an extremely intelligent lady but my ethos is to do my own analysis and make my own decisions. Sorry I can't be more helpful.
Dollar cost average on the way up. Yes, you may miss some of the moves but I'd rather do that than average down. At this point, it's really difficult to know how long this downtrend will continue.
