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by icedchai 2686 days ago
The past decade was also quite volatile. So was the previous. Volatility is normal and timing the market doesn't work, so DCA in and forget about it.
2 comments

I'm not suggesting one time the market. We've been in a huge bull run in the last decade volatile or not. But if you are shooting for $1M in a decade you might want to think about asset allocation more carefully than 100% in the market. That's all I am suggesting. I agree for the portion you are allocating to stocks, DCA in and don't try to time the market.

For example, I put several thousand in a Vanguard TR Fund in January of last year. It's still down 2% overall. Now on a 30 year horizon, no big deal. But for a decade that will significantly impact the compounding returns. Stocks are very volatile and may not be real desirable for a 10 year time frame.

I'm all for buy-and-hold, but you do realize that there's a group of people for which this is very hard? Psychologically, they'll have trouble staying the course when seas are rough.