Warren Buffett: Market Timing Is Both Impossible And Stupid

Warren Buffett has benefited from lucky timing when he has made stock market investments, but he insists that this has only ever been luck, rather than an attempt at market timing. Further, he suggests that those attempting market timing are extraordinarily foolish.

[edwardsroba]

He’s is right, but WB is clearly comfortable seeing the value of his portfolio suffer 50% drawdowns, where as the vast majority of people are not, and would either panic sell and make huge losses, or get very sick from worry. Therefore the underperformance that comes from managing volatility is well worth it for 90% of average joes

[jaybro]

I learnt from you and other professionals like you. But i my opinion timing the the market is extremely important. Sometimes waiting atleast few months to buy or exit may change the whole story.

[CSUSBGOLF]

Meanwhile he has $150 Billion in cash. If he wasn’t trying to time something, most of that would be invested in stocks or businesses.

[dwen]

He’s right, but I still look at charts to get an idea of big movements, like this past year. Charts incorporate the fundamentals as well as the zeitgeist. In any case, I got out last April and wondering when to get back in. I just invest in market averages. If I break even getting back in I’ll be happy. Right now I’m still 5-10% up. All in 401K account so no tax consequences. I have to feel like I have some control over my finances. If I was younger I’d let it ride, but not from the vantage of mid 60’s.

[JBulsa]

9 times there were over -50% drop investments

[yaminatoday]

Lol. What's up with the peanut brittle and the See's candies? I take it, they aren't advertising for those companies, are they?

[mannyyankey]

Jim Simons hedge fund performance has proved him wrong