Quote:
Originally Posted by Wormius
Would this not be a better opportunity to hold on to those investments, and buy in?
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You can only buy in low, if you have cash to buy in low. I was 90% stocks and a few bonds. I didn't do a hypothetical model of what would have happened to my portfolio value if I didn't sell and held on.
Buying on dips requires tremendous amount of guts and time horizon to recover. I am not a young man anymore. 2008 could have been much worse than it was. Roughly comparing 2008 with 1930 crashes: people with $100 value ended up at $50 immediately after 2008 vs. $25 in 1930. If my retirement portfolio goes down 75%, this would be devastating to us.