Too much money on the sidelines

[Anonymous]

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Dollar cost average into an S&P 500 index fund over the next year until it’s all invested. Start now and don’t look back. Time in the market is everything.

[Anonymous]

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Well, you missed a great year of returns then.

Market timing is a losing strategy.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Well, you missed a great year of returns then.

Market timing is a losing strategy.

Last year is not this coming year though. Our economy has added a net of zero jobs since June, ZERO. It takes about 100k per month to keep the unemployment rate from growing. Other indicators are pointing to us already being in a recession.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Well, you missed a great year of returns then.

Market timing is a losing strategy.

Last year is not this coming year though. Our economy has added a net of zero jobs since June, ZERO. It takes about 100k per month to keep the unemployment rate from growing. Other indicators are pointing to us already being in a recession.

People have been saying this for the last several years or even longer. So if you took their advice to sit on the sidelines then - look at what you missed out on. You have no idea what will happen, which is why you should dollar cost average in to the market and play the long game.

The stock market will go down at some point. And then it will go back up to new highs. No one knows anything except performance over the long run is fantastic. The banks are pretty bullish on next year. Their opinion is as valid as your opinion, maybe slightly moreso.

https://finance.yahoo.com/news/wall-streets-2026-forecasts-are-rolling-in--and-some-see-the-sp-500-hitting-8000-110002501.html

Why try and time the market based on your (likely politically motivated) biases?

[Anonymous]

You missed out on 14-21% gains this year. That’s a high price to pay for acting out of fear. Educate yourself more about the markets and stick with an investing profile that you are comfortable with - so you don’t miss out again.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Well, you missed a great year of returns then.

Market timing is a losing strategy.

Last year is not this coming year though. Our economy has added a net of zero jobs since June, ZERO. It takes about 100k per month to keep the unemployment rate from growing. Other indicators are pointing to us already being in a recession.

Enjoy your subpar returns.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Me. I plan on waiting for the inevitable crash.

Samesies. I bought in 2008, thankfully.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Me. I plan on waiting for the inevitable crash.

Samesies. I bought in 2008, thankfully.

so you only buy at the absolute bottom and know in advance. For sure a winning and repeatable strategy.

[Anonymous]

Time in the market > timing the market

[Anonymous]

I have a significant amount in money market right now only because we're retiring in four years. So all the money we need for the first few years is in that bucket. But still overall portfolio is 60% equities.

[Anonymous]

Anonymous wrote:I'm 100% in tech stocks I've handpicked myself, and will continue to do that.

If you're investing for the long-term, a year's fluctuations should not bother you. I check my portfolio a couple times a year. It's been growing for 20 years now. Even if we go into a recession, it won't matter to me.

+1
I would never hand pick stock, but my sentiment is the same - stay the course. I do index funds because I know I can’t beat the market, so I don’t try. It’s been a winning strategy for me.

[Anonymous]

Anonymous wrote:I have a significant amount in money market right now only because we're retiring in four years. So all the money we need for the first few years is in that bucket. But still overall portfolio is 60% equities.

This is a good strategy as you head into retirement. Especially since money market is giving decent returns - not as good as S&P but much less risky.

[Anonymous]

Market timers always lose. I keep about 1 year of living expenses in cash and feel pretty comfortable with that. The rest is always invested

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I've been nervous about the markets being frothy the last year and now have way more than i'd like in money market funds.

Anyone in a similar boat? What are you planning to to?!

Well, you missed a great year of returns then.

Market timing is a losing strategy.

Last year is not this coming year though. Our economy has added a net of zero jobs since June, ZERO. It takes about 100k per month to keep the unemployment rate from growing. Other indicators are pointing to us already being in a recession.

People have been saying this for the last several years or even longer. So if you took their advice to sit on the sidelines then - look at what you missed out on. You have no idea what will happen, which is why you should dollar cost average in to the market and play the long game.

The stock market will go down at some point. And then it will go back up to new highs. No one knows anything except performance over the long run is fantastic. The banks are pretty bullish on next year. Their opinion is as valid as your opinion, maybe slightly moreso.

https://finance.yahoo.com/news/wall-streets-2026-forecasts-are-rolling-in--and-some-see-the-sp-500-hitting-8000-110002501.html

Why try and time the market based on your (likely politically motivated) biases?

The tough part is when to move money out stocks and into a money market or bonds. We are all but guaranteed a rate cut that will juice stocks this month and then another and then QE when the economy continues to falter. This all but guarantees stocks rise for a while longer. Plus inflation’s bad so people need to put money somewhere and its stocks. I am letting my VGT and index fund ETFs ride for a while longer. Maybe mid 2026 or a bit sooner we’ll see some drastic drops. Until then fk it. But it does feel like a recession will be coming soon.

[Anonymous]

Anonymous wrote:I said fk it today. The adp was terrible with tons of job loss. I sold all my stocks a month ago on market fears and had my money in a money market funds and bonds waiting fir the ai bubble to burst and shtty job reports to drive the stock market down low enough to buy. Turns out no one cares about stupid things like tariffs, employment and overall economic conditions and the market just goes up. I am once again back in a broad market us and foreign stock fund. Who cares. Let it ride for another few months and then I’ll put it all back in bonds until the recession hits and then I can buy stocks low.

I can tell that you’ve thought this through, and researched the relevant issues thoroughly.