This week is going to be wild,Lol. Coronavirus,markets dropping faster then a two dollar pistol, and now a oil price war between the Saudi’s and Moscow. Good times!
I invest exclusively in stock index funds, which basically hold the entire stock market (something like 3000+ stocks). All the evidence I’ve seen is that even professional investors typically fail to beat the market in the long run, so my chance as an amateur is slim. Indexes are also usually cheaper, and by spreading the risk across thousands of companies you are less likely to lose a huge amount of money.
I also pretty much invest extra savings into the market whenever I can, so I have no extra money sitting around to “buy the dip” now. Already invested.
And now I just saw that the market opened 7% down. What fun.
2000-2003, 2007-2009, both about -50% DOW. 29,500 X .50=14,750. Who knows if it will get there or not? Depends on how much I he virus slows things. As companies earnings are hurt, I see more big down days in the future