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Old 27.03.2020, 14:32
wantone wantone is offline
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Re: Markets down - Invest now or wait further?

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Fully agree on being a long-term investor. But why can't you be a passive long-term investor? You simply buy-and-hold low cost ETFs. And how exactly do you risk getting decimated by the 'active investors' or the 'funds'? The article I linked (this one) precisely proves that, in the long run, passive investors (e.g. market trackers) beat active investors (e.g. timing-the-market approach).
Again buying ETFs means you just outsourcing the management of your portfolio to a portfolio manager at companies like Blackrock (and you are paying for this) for example. Many ETF investors have no clue what are the investments in their ETFs.

Low cost just means that the ETF manager spends the minimum of time looking after the ETF investments.

Past returns imply nothing about the future.

Getting decimated means when you need to money you may have to sell at a loss. If you don't need the money yes you can wait for the bounce but in the mean time the active investor has made 3 times as much.

Active investors sell when they are winning and lock their profits. And they buy when there is crash.
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