If I sell stocks/funds, I'd always move the capital straight into VTI, as you haven't really changed your risk exposure.
You have to be agnostic on rates and the direction of stock prices, because large moves are always down to what people expect, and what actually happens, being at odds .. So you just have to decide on a level of stock market exposure you're happy with – maintain that whether stocks go up or down – and just deploy capital right now.
Whenever and however you deploy, you're always going to be in the same situation: the next day is an unknown, with an x% chance of a crash .. If you're not happy with those odds at 80:20 stocks/cash, you should probably be in 50:50 .. or 25:75 .. But the risk is always there, whether you ease back into the market, or dump it back in.
You have to be agnostic on rates and the direction of stock prices, because large moves are always down to what people expect, and what actually happens, being at odds .. So you just have to decide on a level of stock market exposure you're happy with – maintain that whether stocks go up or down – and just deploy capital right now.
Whenever and however you deploy, you're always going to be in the same situation: the next day is an unknown, with an x% chance of a crash .. If you're not happy with those odds at 80:20 stocks/cash, you should probably be in 50:50 .. or 25:75 .. But the risk is always there, whether you ease back into the market, or dump it back in.
Statistics: Posted by Logan Roy — Mon May 13, 2024 4:34 pm — Replies 1 — Views 140
