Author Topic: The Right Time to Buy ETFs?  (Read 3574 times)

tensile

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The Right Time to Buy ETFs?
« on: June 19, 2014, 02:31:04 AM »
Hi everyone, sorry in advance if this is a known topic but I couldn't find anything on it.

Many indexes are at all-time highs. I'm just dipping my toe into the ETF market (previously I thought I could outsmart the market by stockpicking) but it really goes against the grain to buy an investment that's trading at its highest ever price. (It'd be psychologically easier if I'd been consistently buying since 2009 or whatever)

Are you guys really buying at these prices?

bluecheeze

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Re: The Right Time to Buy ETFs?
« Reply #1 on: June 19, 2014, 03:51:47 AM »
Most here will be investing in line with their asset allocations.  I personally just dropped 6figs into VTSAX last month and will put 5figs into VGSLX next month.  Both are at "highs" but I believe in following the financial plan.  How do you know they won't continue going up making these "highs" look like nothing in the next few years?  They may go down too but thats OK because I choose a risk model that I can sleep soundly with at night. 

johnintaiwan

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Re: The Right Time to Buy ETFs?
« Reply #2 on: June 19, 2014, 05:41:59 AM »
Whenever you have money is the right time to buy etf's

arebelspy

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Re: The Right Time to Buy ETFs?
« Reply #3 on: June 19, 2014, 08:00:09 AM »
Just keep consistently buying.

If it goes up, you'll be glad you bought now.  If it goes down, you'll be glad you're buying then.

It's rare that you'll time the market perfectly and be glad to have sat on cash (other than psychological tricks you tell yourself, an objective analysis would reveal you lost money by not having that cash invested - you're missing out on all the dividends in the meantime, for example).
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FrugalSpendthrift

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Re: The Right Time to Buy ETFs?
« Reply #4 on: June 19, 2014, 08:03:46 AM »
The best time to plant a tree is 20 years ago.  The second best time is now.

arebelspy

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Re: The Right Time to Buy ETFs?
« Reply #5 on: June 19, 2014, 08:37:40 AM »
The best time to plant a tree is 20 years ago.  The second best time is now.

The second best time is 19 years and 364 days ago (assuming you have a one day interval, and assuming that 20 years ago was the earliest you could plant it, otherwise your first sentence is wrong, and assuming the tree lives longer than 20 years, and assuming you want it to be the oldest possible tree it can be).  The third best time is 19 years, 363 days ago.

Now is approximately the 7,305th best time.

Either way though, the 7,305th best time (now) is still better than the 7,306th best time (tomorrow).

:)
We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
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milesdividendmd

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Re: The Right Time to Buy ETFs?
« Reply #6 on: June 19, 2014, 09:48:13 AM »
Just ask yourself these questions:

"If I had asked this same question last year at this time would the issues have been any different?

And

What was the correct answer to last years question?





arebelspy

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Re: The Right Time to Buy ETFs?
« Reply #7 on: June 19, 2014, 09:55:36 AM »
Just ask yourself these questions:

"If I had asked this same question last year at this time would the issues have been any different?

And

What was the correct answer to last years question?

What a simple way to put it.  I love it!
We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
If you want to know more about us, or how we did that, or see lots of pictures, this Business Insider profile tells our story pretty well.
We (rarely) blog at AdventuringAlong.com. Check out our Now page to see what we're up to currently.

milesdividendmd

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Re: The Right Time to Buy ETFs?
« Reply #8 on: June 19, 2014, 10:25:28 AM »

Just ask yourself these questions:

"If I had asked this same question last year at this time would the issues have been any different?

And

What was the correct answer to last years question?

What a simple way to put it.  I love it!

Thanks man!

(That means a lot to me.)



tensile

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Re: The Right Time to Buy ETFs?
« Reply #9 on: June 19, 2014, 10:28:49 AM »
Okay, got it. Thanks for the clarity, everyone!