Author Topic: 2019 Roth IRA funded - Invest in VTSAX or set "Good Till Cancel" for VTI?  (Read 613 times)

HankWilliams

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Hi, I funded my Roth IRA for 2019 in Vanguard. Itching to invest it in VTSAX or VTI but waiting... for the market to dip like it did on Christmas.

I know VTSAX and VTI are basically the same. So should I just set some "Good Till Canceled" orders for VTI (since you cant do it on VTSAX)?
And then one day when the market slips, I got more VTI?
Set a bunch of GTC? One for .90 cents on the dollar? Another for .80? Then .70? etc?

Or Plan B.... just use Dollar Cost Averaging and buy a couple shares the first of every month into VTSAX?

Or am I just splitting hairs? I guess I just want to get the money invested asap. Thanks y'all...
« Last Edit: January 14, 2019, 02:38:37 PM by HankWilliams »

appleshampooid

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Buy now, with all of it. Market timing is folly, and lump sum beats DCA more often than not.

The market tends to go up....buy now! That's what the numbers say.

forgerator

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I may be amongst the minority here but I would say it doesn't hurt timing market especially in volatile conditions like the ones we face today. There's a lot of technical indicators and fundamentals hinting at a retest of the December low and possibly a bounce back from there. It doesn't hurt to wait until you get that opportunity.

Telecaster

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I may be amongst the minority here but I would say it doesn't hurt timing market especially in volatile conditions like the ones we face today. There's a lot of technical indicators and fundamentals hinting at a retest of the December low and possibly a bounce back from there. It doesn't hurt to wait until you get that opportunity.

Technical indicators are total bullshit.  If they worked, they everybody would use them.  But if everybody used them they wouldn't work anymore.  Fact is, there is no TA practitioner that has ever shown outperformance over any reasonable length of time.   

35andFI

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I guess I just want to get the money invested asap.

Perfect! Do that.

jacoavluha

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It doesn't hurt to wait until you get that opportunity.

Define "that opportunity"

HankWilliams

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Ironically, Paula Pant just discussed this...

Check out around 33 minutes into yesterday's podcast.
https://affordanything.com/172-ask-paula-buy-nice-car-or-save-money/

Mississippi Mudstache

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I used to use "Good 'Til Canceled Orders" to squeeze more out of my investment dollars, until I had a few thousand bucks that never got invested, because the market never dropped low enough to initiate the order. By the time I realized my money never got invested, I'd already lost out on a 10% gain. That missed opportunity cost me more than I gained on buying below current market value any number of orders. So now I just invest as soon as the money is available. In the long run, it's the right move.