So, I just invested in the stock market for the first time.
Is this a bad idea? Quite possibly.
But here is my logic:
A well diversified portfolio will average high (usually double digit / year) returns in the long term. The markets are down to 5 year lows. So investing in the market now would be the same as investing 5 years ago. Now, the markets have likely not hit there bottom yet, but I will be in when thing turn around.
Now, the other option is that everything truly goes to hell and does not recover.
So, I did invest about a third of my investment in Gold. Not only to diversify, but also because if things do get much worse and we see a collapse like is going on in Iceland, gold will hold its value while the dollar collapses. After all, these bailout have pushed our government debt well over $10 Trillion.
And to be truly invested for the apocalypse, I have also spent about $30 in water purification tablets, matches, emergency blanket, and a hatchet.
If you are brave enough to try and invest in the market, why don't you take advantage of my shameless plug: I got an account at Scottrade which offers $7 flat trades and no maintenance fee. And if you sign up and use "APLT4506" as the referall code you get 7 free trades (and I do too :-) ).
Is this a bad idea? Quite possibly.
But here is my logic:
A well diversified portfolio will average high (usually double digit / year) returns in the long term. The markets are down to 5 year lows. So investing in the market now would be the same as investing 5 years ago. Now, the markets have likely not hit there bottom yet, but I will be in when thing turn around.
Now, the other option is that everything truly goes to hell and does not recover.
So, I did invest about a third of my investment in Gold. Not only to diversify, but also because if things do get much worse and we see a collapse like is going on in Iceland, gold will hold its value while the dollar collapses. After all, these bailout have pushed our government debt well over $10 Trillion.
And to be truly invested for the apocalypse, I have also spent about $30 in water purification tablets, matches, emergency blanket, and a hatchet.
If you are brave enough to try and invest in the market, why don't you take advantage of my shameless plug: I got an account at Scottrade which offers $7 flat trades and no maintenance fee. And if you sign up and use "APLT4506" as the referall code you get 7 free trades (and I do too :-) ).
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