facebookShould I transfer my cash (around 2k) from STI ETF (at a loss) to buy up stocks which are at a bargain price now? - Seedly

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Anonymous

20 Mar 2020

Stocks

Should I transfer my cash (around 2k) from STI ETF (at a loss) to buy up stocks which are at a bargain price now?

Most of my cash is tied up in STI ETF which has been underperforming. With the current market, I see some opportunities to buy stocks cheaply. I am wondering if it is a good idea to take out this 2k which has already accounted for the loss to DCA into 1/2 stocks which I have shortlisted.

Discussion (3)

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Just Being Ernest

20 Mar 2020

Content Creator at www.youtube.com/c/JustBeingErnest

Yupe, is like opportunity cost.

If you see that other stocks will have a better recovery than STI, then go ahead to make the switch.

No need to think so much
I make videos about interesting stuff at youtube here​​​

Newsflash, everywhere (even traditonal safe havens such as gold, jpy) is underperforming, STI is not the sole orphan in this equity meltdown.

Since the bulk of your STI investment (alr in the red) in absolute amounts is not high, it made not much sense to realized your loss permanently, might as well let it be. In times of black swan events, sometimes its best to learn how to comparmentalize the spilled milk away.

I would rather focus on building a new warchest and prudently deployed them over a one-year period on your shortlisted companies while being aware that lower lows is highly probable in the short-mid term horizon​​​

You have to make your own analysis whether you can offset the loss from selling STI by profiting thr...

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