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Buy In Strategy

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614Engineer
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Cash: $ 3.35

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Joined: 17 Dec 2015
Location: USA
Buy In Strategy  Reply with quote  

All right my friends, I'm close to executing the plan the forum helped me put together in earlier threads. The question as this point is mechanical.

Upon home sale, I'll have a sizable chunk to invest in the VFINX fund. Let's call it $100k.

So to the question... what do the members suggest for an actual buy in strategy for an amount in that range? I'm not sure I want to just do it all at once? On x% dip? Every month for a year? Obviously I'm not trying to get someone to forecast the market, just a reasonable plan. In the past I waited for a dip so long I missed a bunch of upside Rolling Eyes

Thanks for the help! In a few months, I'll be asking about a real estate strategy for San Diego CA. But I have to say, this forum has changed my entire attention level for my finance and I'm having a blast learning from you guys - thanks!
Post Sun Apr 03, 2016 1:46 am
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oldguy
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DCA, dollar-cost-averaging, is what most people do because they are paid incrementally, usually monthly.

http://www.theglobeandmail.com/globe-investor/investment-ideas/invest-gradually-or-jump-in-all-at-once-the-winner-is/article8408480/

But studies show that it doesn't much matter. When I sell a rental house I usually chicken out and break it up into 2 or 3 or 4 parts (what if I'm wrong?). And so far I've been wrong every time, lol. But not by much. And I rationalize that I was insuring myself against a big dip 8 or 12 months downstream. But so what - for my entire life the market has always corrected, usually within a year of 2 or 3 (how else could the Dow be at an all-time 100+ year high?)
Post Sun Apr 03, 2016 8:50 am
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614Engineer
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Cash: $ 3.35

Posts: 16
Joined: 17 Dec 2015
Location: USA
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Forgot to say thank you when I first read the reply, so.. Thanks! More to come I'm sure. I must be talking too much about what I've been reading, I've got broker type people trying to pry into my personal numbers (repeatedly, uninvited) LOL. How inappropriate.

I guess even a whiff of potential, future success brings em out?
Post Thu Apr 07, 2016 1:18 am
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