I hedge my bets and do both. I deposit a regular amount regardless of what happens but will throw in a bit extra when it’s clear there is a dip. I prefer the international ETFs also. Can’t go wrong being more diversified.
Double recommend the emergency fund. I have 6 months income but with the current volatility and that fact that I live in this American shit hole, I may want to start contributing more to it to get 9 months at least. But since I have 6 months already I’m fine with not missing this opportunity to buy the dip.
I only wish I had waited a week to make my yearly IRA contribution. I generally do a lump sum for that since I just max out the contribution for the year with my bonus mainly because it’s easier to keep track of. This event makes me want to rethink that strategy since I missed the dip on that by a week. It probably doesn’t matter that much though since I can’t touch my IRAs for around 30 years anywho.
I hedge my bets and do both. I deposit a regular amount regardless of what happens but will throw in a bit extra when it’s clear there is a dip. I prefer the international ETFs also. Can’t go wrong being more diversified.
Double recommend the emergency fund. I have 6 months income but with the current volatility and that fact that I live in this American shit hole, I may want to start contributing more to it to get 9 months at least. But since I have 6 months already I’m fine with not missing this opportunity to buy the dip.
I only wish I had waited a week to make my yearly IRA contribution. I generally do a lump sum for that since I just max out the contribution for the year with my bonus mainly because it’s easier to keep track of. This event makes me want to rethink that strategy since I missed the dip on that by a week. It probably doesn’t matter that much though since I can’t touch my IRAs for around 30 years anywho.
The DCA method. They say time in the market beats trying to time to market.
But in these times, it’s obviously those with money outside of the market that have the biggest gains.
COVID had a one month crash. Then here in Europe we had the energy crisis bear phase.
But between the financial crisis and COVID it went relatively smoothly.
Future can’t be predicted. DCA or building up a lump sum for a bear phase. No idea which of the two is the best option.
The latter is probably the safest one.