Even After New Highs, The Rally May Last (NY Times)

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Even After New Highs, The Rally May Last (NY Times)

Postby jbk » Fri Apr 05, 2013 10:09 pm

Interesting article for those on the sidelines who may be concerned that this is a bad time to dive in.

http://www.nytimes.com/2013/04/06/busin ... wanted=all
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby pjstack » Sat Apr 06, 2013 7:58 pm

Maybe yes, maybe no, blah, blah, etc. (Repeat as necessary to write an article.)

No body knows.
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby steve roy » Sun Apr 07, 2013 2:48 am

Beginning of the week, I invested a chunk of money in Vanguard's International Small Cap ETF (VSS).

Naturally, as soon as Vanguard settled my order, VSS started dropping. But I don't care (much). I had some money to roll into my retirement accounts, I executed my asset allocation plan, and life goes on.

I don't time markets. When I have money to put into my allocations, I put it in. I always presume that time will smooth out the ups and downs as the markets trundle on.
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby pjstack » Sun Apr 07, 2013 3:04 am

pjstack wrote:Maybe yes, maybe no, blah, blah, etc. (Repeat as necessary to write an article.)

No body knows.

I apologize for the flippant tone of my response (above).

I know that some people agonize over articles like the one referenced by the OP, and, really, who am I to make light of their anxiety?

I guess my only point (not stated in my flip reply) was that if you are in the business of writing articles that your editor will buy, you interview various experts/pundits and quote their opinions. Opinions are like bellybuttons: everybody has one.

After finally believing that "stay the course" is really the best way to go, now I just concentrate on whether my asset allocation (the "course") is OK for me and leave the pundits to fend for themselves.

Who knows? (Nobody.)
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby umfundi » Sun Apr 07, 2013 4:15 am

jbk wrote:Interesting article for those on the sidelines who may be concerned that this is a bad time to dive in.

http://www.nytimes.com/2013/04/06/busin ... wanted=all

So, let me see. The NYT gives me ten free looks at its articles every month. I have decided this article is not worth using one of those free looks.

In spite of pjstack's angst, I am fully on the side of mocking and deriding articles like this.

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Re: Even After New Highs, The Rally May Last (NY Times)

Postby jimkinny » Sun Apr 07, 2013 7:39 am

pjstack wrote:
pjstack wrote:Maybe yes, maybe no, blah, blah, etc. (Repeat as necessary to write an article.)

No body knows.

I apologize for the flippant tone of my response (above).

I know that some people agonize over articles like the one referenced by the OP, and, really, who am I to make light of their anxiety?

I guess my only point (not stated in my flip reply) was that if you are in the business of writing articles that your editor will buy, you interview various experts/pundits and quote their opinions. Opinions are like bellybuttons: everybody has one.

After finally believing that "stay the course" is really the best way to go, now I just concentrate on whether my asset allocation (the "course") is OK for me and leave the pundits to fend for themselves.

Who knows? (Nobody.)


I agree with both the emotional response and the rational response.

Jim
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby livesoft » Sun Apr 07, 2013 8:01 am

Well, the Stewart article linked in the OP may be helpful for people who want to tell folks that wish to sell to "stay the course", such as in this thread: viewtopic.php?f=10&t=114287 And it seems the intent of jbk (the OP) is to help folks who post on the forum "Should I invest now or wait?".

After all, the messsage of James B Stewart's article is simple: The market may go up from here. Well, duh.
It's all about short-term opportunistic rebalancing due to a short-term change in one's asset allocation, uh, I mean opportunistic rebalancing, uh I mean rebalancing, uh I mean market timing.
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N.Y. Times article

Postby Taylor Larimore » Sun Apr 07, 2013 8:19 am

jbk wrote:Interesting article for those on the sidelines who may be concerned that this is a bad time to dive in.

http://www.nytimes.com/2013/04/06/busin ... wanted=all


jbk:

Thank you for the link to the N.Y. Times article which contains interesting information about historical returns and the logic of Mr. Bogle's sage advice:

"Stay the course."

Best wishes.
Taylor
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby zzcooper123 » Sun Apr 07, 2013 8:44 am

The NYT influences many people. Maybe this article will be the "tipping point" and open the floodgates behaviorly for individuals to return to the Market. I have reached the conclusion that the Boglehead way requires too much mental stability to ever catch on ( thank God!). The herd mentality will always rule and the majority of investors will continue to make mistakes. Loss aversion rules.
It is the Boglehead philosphy that is aberrant.
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Re: Even After New Highs, The Rally May Last (NY Times)

Postby OverTheHill » Sun Apr 07, 2013 8:52 am

What the NYT knows about the market and finance you could put in a thimble and still have room for your thumb.
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