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lookout123 · 04-30-2006, 11:39 AM

no, no that isn't what i meant. what i am saying is that having a little money invested NOW in the market is a lot more powerful than investing a LOT later. the most powerful component in successful investment is TIME. not timing, not always picking the hot stock, not getting out before a downturn - TIME in the market.

sometimes there are no alternatives, but if there is any choice at it is better to pay your debt off via the tried and true method of sending in your monthly checks and keeping your retirement funds, exactly that - retirement funds.

it isn't a get rich scheme or a screw the system system - it is just simple common sense combined with knowledge of the markets.

1) i don't know when the markets are going to have great years vs crappy years. so if i'm always in with a balanced portfolio i have no worries about missing a run up. think in terms of real estate. imagine someone sold their house in 2002 and didn't purchase right away because they were considering relocating (or any other reason). he was finally settled and stable by 2005 and ready to purchase the market had gone insane. home prices had doubled and sometimes tripled. the sorry sucker is going to have difficult time getting back into the housing market and will never regain that ground. the same thing happens in the market - just in a less noticeable way. i have client that was in Stock X. he complained that although he really liked the company and wanted to own it for the long haul he was going to sell it and buy his new car because he didn't like owing anyone money. sounds like a great plan - but now Stock X is trading 40% higher. he missed his chance.

2) it is far easier for most people to pay bills than it is to invest appropriately. i'm sure BigV is different, but most people will find something that they have to buy on a monthly basis rather than invest the money. if they keep their money invested they will without fail send the money to the creditors and pay the debt down while still watching their retirement money grow.

good financial management is quite counterintuitive. if it feels good, you'd better think again. if it feels really really crummy - you might just be on the right path.

04-30-2006, 11:39 AM	#71
lookout123 changed his status to single Join Date: Apr 2004 Location: Right behind you. No, the other side. Posts: 10,308	no, no that isn't what i meant. what i am saying is that having a little money invested NOW in the market is a lot more powerful than investing a LOT later. the most powerful component in successful investment is TIME. not timing, not always picking the hot stock, not getting out before a downturn - TIME in the market. sometimes there are no alternatives, but if there is any choice at it is better to pay your debt off via the tried and true method of sending in your monthly checks and keeping your retirement funds, exactly that - retirement funds. it isn't a get rich scheme or a screw the system system - it is just simple common sense combined with knowledge of the markets. 1) i don't know when the markets are going to have great years vs crappy years. so if i'm always in with a balanced portfolio i have no worries about missing a run up. think in terms of real estate. imagine someone sold their house in 2002 and didn't purchase right away because they were considering relocating (or any other reason). he was finally settled and stable by 2005 and ready to purchase the market had gone insane. home prices had doubled and sometimes tripled. the sorry sucker is going to have difficult time getting back into the housing market and will never regain that ground. the same thing happens in the market - just in a less noticeable way. i have client that was in Stock X. he complained that although he really liked the company and wanted to own it for the long haul he was going to sell it and buy his new car because he didn't like owing anyone money. sounds like a great plan - but now Stock X is trading 40% higher. he missed his chance. 2) it is far easier for most people to pay bills than it is to invest appropriately. i'm sure BigV is different, but most people will find something that they have to buy on a monthly basis rather than invest the money. if they keep their money invested they will without fail send the money to the creditors and pay the debt down while still watching their retirement money grow. good financial management is quite counterintuitive. if it feels good, you'd better think again. if it feels really really crummy - you might just be on the right path.