Asked on 21 Aug 2018
Ng Lip Hong Kyith, Chief Editor at Investment Moats
Answered on 21 Aug 2018
When you start this, you should have an idea why you buy the ETF that forms your portfolio. So typically folks would want to cover on a global context. Say
Why the above 4? it is an example but you have a strategic, or high level reason. Typically, the idea is that all 4 over time, are like savings deposits. They have a positive expected return which means that over time their compounded rate of return is positive. It is just that over time, they are volatile. there are some years they are under performing there are some years they do much better.
The ideal strategy here is to rebalance those that are doing well into those that is doing not so well.
Or if you have capital injection, prioritize injection into the ones that are not doing so well.
This is a systematic buy low sell high.
Now if you have no idea what is your strategic idea in the first place, then its more challenging to answer the question above.
If you have been dca into the index, you should continue buying into the dips as once the market rec...
Read 8 other answers with a Seedly account
You will also enjoy exclusive benefits and get access to members only features.
Sign up or login with an email here