Avoid This Tragic Investing Mistake - Timing the Market

You are not timing the market, even if you think you're timing it right now. Even Warren Buffett admits that he can't time the market, and he's the greatest investor of all-time. In this video, we'll talk about how to avoid this tragic investing mistake and present you with an alternative to trying to time the market.

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[TheCounterpointer]

You say all the great things here, but there was a comment in your older videos this year saying that you bought inverse ETF, effectively shorting the market this year (hence why you’re up this year). Is that true? So despite saying all of these great things in the video, you actually do things like shorting the market? Not to mention that you have a day trader Mo on your channel. It’s time to actually start doing what you preach

[radigeorgiev]

In other words, avoid what Paul has been doing since 2013 when he went 70% cash per his seekingalpha article and started a short on amazon at $250 which he held until the stock reached $1500? Okay, got it!

[harikrishnanchandramohan]

@Everything Money. DCA works for short-term investors. Historically stock market is always in an upward trend and the peaks and troughs appear meniscal in the long-term. Lumpsum outperforms DCA 75% of the time without factoring the frequent commissions, TDS and other charges every time you buy.

[TheAuToMaTiC]

I think it's smart to use about half of your investing money to DCA into your forever holds, while holding back about 50% of your cash to go bargain shopping on red days. That way you're not tempted to sell good companies at a loss to shuffle your money around. You can just average down when it goes below your cost basis. Imagine sitting on 50% cash on March 23rd 2020...

[Nemi]

Another DCA video!!?? Just what I was looking for! *eye roll*

[luxurylife]

I have a question: if you your stock going down, and you reassess your thesis. What if your thesis of the business is no longer what you think it is, do you sell it? Or do you hang on and sell to break even? I like to look at value as well. But one of the companies I own, has a major negative outlook. I’m not saying I’m gonna sell it right away, but my thesis changed and it’s hurting my portfolio. What would you do?

[gcastroism]

Probably your best video. You were born for this, and appreciate your awesome videos.

[Georgeandjackshow]

Hey Paul the Value investor. I love your channel, you and your team have educated me so much through the last 3 months of finding your channel. I do have one question though. As a new investor I am very uneducated in terms of selling, I have heard things such as "never take your money out of the market" & "reevaluate the companys story if its looking bad". I was wondering if you could do a video sometime in the foreseeable future about selling? Is there such a thing as Dollar cost selling? or is it more of a personal thing compared to buying? I understand that my stock price goes up but if I never take the money out, I havent actually made any money that I can reinvest. Thanks for taking the time to read, gotta respect your hustle.

[darrenmcinerney]

Thanks great advice. I have a question as you get closer to retirement it can become more risky investing. What advice would you give on managing your portfolio. What percentage would you keep in stocks etc? At certain stages in your life?

[silverwire]

I’m a fan, but you’ve said many times you haven’t bought for two years because it’s overvalued. Why don’t you DCA?

[joshuat]

So what should do you do when Your waiting for the price target in individual stocks and what percentage of cash do you have and what percentage are you invested ?

[exploringwithanxiety]

I'm afraid I'll get so used to buying in red days that I won't want to buy in green because it raises the CB. Gotta get over that mindset!

[seanmorrow]

Thank u paul i have learned so much from your videos

[foodini]

I generally find myself doing my index fund etf buying on down days, is that considered timing the market or is that ok? i would think in theory its maybe somewhat better or at least should still be average/ok.

[genxretiree]

I did somewhat time it by selling some (not all) in Nov 2021 and paying off my house and buying a new Lexus SUV with profits. I’ve put back the amount I took out in about 8 months and was never totally out of course. Feels good to invest a lot more now without that mortgage payment.

[tomburden]

Does this pertain to individual stocks or ETFs? How can you tell if you are paying to much for a stock vs just over estimating your margin of safety?

[michaeld]

Great video....it's time IN the market, not timing the market.
Just keep buying! as Nick Maggiuli says in his recent book.

[austinlam]

Absolutely agree DCA, just not all in but set your plan to DCA gradually

[abish]

I get it about timing the market but between Powell speech and September which tends to be a bad month, waiting will be the least worst I think

[rootedrotor]

Actually, if you have a lump sum - it's better to put it all in at once compared to DCA'ing - and it's not close. Time in the market>Timing the market