Stop to think about it. Most investors are trying to outwit each other all the time. They buy stocks they feel will beat the market. To do so, they study information that hundreds of thousands, maybe millions of others read. So they are not getting genuine pearls of exclusive wisdom.
And they often pay advisers lots of money when those advisers are in the same situation, looking for scarce nuggets of securities wisdom that is being picked over by the public.
And when investors buy, they are getting what someone else is selling. Maybe someone just as smart an investor as the buyer, or his adviser.
As for knowing when to buy or sell, research shows that no one has ever been truly able to time the markets. Unless they have inside information. However, that is illegal.
The best solution? Invest in low cost index mutual funds or ETFs ( See the Earl J Weinreb NewsHole® comments.)
No comments:
Post a Comment