Quote:
Originally Posted by Bill Bumface
I would not do this. Just because something has done great for decades doesn't mean that will keep going. People have thought this about various industries before.
Buying the whole market, all industries, all geographies is the best way to avoid risk in one country or one sector wiping out your retirement savings. Globally diversified index funds are the cheapest way to do this.
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That's why I said it's one of many right or wrong options. I also said later in the post that he could consider some or all of the 20K. It doesn't have to be all in right away and not all in the same stock.
IMO tracking a bank stock is more effective to learn how investments work than a blended ETF. A blended ETF is more effective at investment diversification. its two slightly different things.