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Re: [TSPStrategy] Still in G?

Unfortunately it doesn't work that easy for most people. I got out of the market in Feb 2008 after about a 10% loss. Then I thought it bottomed in April 2008 only to take another 10% loss. Then got out. Got back in Oct 2008 and just let it ride. So I ended up loosing 20% in 2008 and making 26% in 2009. It's really too hard to time the peaks and I either get out too soon or stay in too long and rarely time the bottom perfectly if I am sitting in G. 

Many in G got out too soon and missed the run up early in the year and are now wondering if they missed thy pull back and should they buy back in now at an all time high in the C.  If you have the time and nerves of steel you can get back in and maybe make more money at high risk and just know that if the bottom falls out it will eventually rise back up over time. Or continue to wait for that epic pull back that might not happen anytime soon with all the stimulus or maybe it will if new taxes are levied. 


Richard

On Apr 2, 2021, at 8:24 AM, Dave in Dallas <datruedave+GroupsIO@gmail.com> wrote:

On Thu, Apr 1, 2021 at 04:11 PM, MD2018 wrote:
I think it depends on your time frame that you need the money. It's really hard to time the market. Been trying to do it unsuccessfully for 30 years. Here's something to think about. 

If you had invested $100,00 in Nov 2007 (at the peak for the Great Recession) the C fund was at about $17 per share. 
It dropped to around $8 in March 2009 about a  50% drop
The C fund is now trading at around $60 per share, about a 250% gain from Nov 2007.
 
So your $100,000 investment would now be worth about $353,000. 

And what if you put that $100,000 in G fund, and moved it to C fund in March 2009?  How much would your $100,000 investment be worth in that situation?

 

I think there's a difference between trying to time the market like a day trader, and keeping an eye on big picture trends to avoid major swings.  I haven't heard a single stock market analyst say that the market is NOT overvalued right now.  There will be a correction, it's just a matter of when.  If you're in G when the correction happens, you'll be glad you missed out on a few months worth of gains.

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