I'm currently in my 20s and I am financially stable. I don't plan on retiring for 40+ years. As someone who doesn't have much experience investing, there's some advice that I always hear, whether on the internet or just from friends/family:
- Don't waste time "stock picking"
- You can't time the market
My simple solution to this is:
- Invest in ETFs like VOO.
- Buy a singular share of VOO whenever you have the money. Don't pay attention to what the market is doing.
Is this a good strategy or is it naive? While more than 50% of investors think that they can out perform the average investor, I recognize that I can't. Why doesn't everyone use a strategy similar to this (or do they)? At what age do I start to diversify further, from 100% stock to a combination of stock and bonds?
Do you guys do anything similar to this? Why or why not?
Submitted April 26, 2020 at 07:21PM by Bluberrymuffins https://ift.tt/2yJW95d
