tag:blogger.com,1999:blog-4751610667110065763.post4284381845128001023..comments2023-10-13T14:07:08.908-04:00Comments on HowtoInvestOnline: Riding the Investment Roller CoasterCanadianInvestorhttp://www.blogger.com/profile/05645767559302303541noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-4751610667110065763.post-62615292739013754612008-10-12T05:28:00.000-04:002008-10-12T05:28:00.000-04:00Hi Nancy,The current state of the market is indeed...Hi Nancy,<BR/>The current state of the market is indeed unusual, to all appearances in a state of panic rarely seen. That makes it a time of both great opportunity and great risk. If you cannot stand 8-10% swings in a day, which is about a normal change in a year, then you are best out of the market. If you have a long time to invest / won't need or want the invested funds for ten or more years, then this might be a good time to start buying. A BMO Nesbitt Burns report called Focus on Oct.3 (http://www.bmonesbittburns.com/economics/focus/20081003/focus.pdf) took a look at various financial ratios and concluded at that time that stocks were at attractive levels compared to past recessionary declines. And in the past week there has been a further 15% or so decline! I do not know what will happen next - stability, further steep drop or recovery - nor does anyone really. <BR/><BR/>On the other hand, when stable and safe T-bills, CSBs and GICs are yielding less than inflation, you suffer a gradual loss of purchasing power. <BR/><BR/>If your question is whether you strike out on your own instead of sticking with an advisor, then I would say current market conditions make no difference. The same principles, advantages and disadvantages of DIY vs an advisor apply. NO ONE knows where the market is going short term and when ups and downs will occur. Even less so these days. In the long term the market goes up but the long term can easily be a decade or more.<BR/><BR/>Cheers and good luck!CanadianInvestorhttps://www.blogger.com/profile/05645767559302303541noreply@blogger.comtag:blogger.com,1999:blog-4751610667110065763.post-3006572310900061522008-10-09T16:25:00.000-04:002008-10-09T16:25:00.000-04:00Hi there,I'm considering becoming an online invest...Hi there,<BR/><BR/>I'm considering becoming an online investor, but given the current state of the market I am hesitant. Should I wait for the markets to become more stable before going out on my own?Nancyhttps://www.blogger.com/profile/07324795694561161975noreply@blogger.com