|
Posted by FrediFizzx on June 8, 2008, 1:58 am
> Tom_Cochrane wrote:
>> I am going by personal sentiment, but it looks like nothing is worth
>> putting money into right now in the equity world unless you are
>> investing for a very long term return. Maybe this is the way the
>> market works, it throws you off whether you are bullish or bearish.
>> The funny part is I am not that bearish either in terms of nominal
>> market indexes. I just think inflation and dollar implosion will
>> effectively make buying power of any 8% annual market returns
>> useless. Can we get into a funk where the market just does not do
>> anything except go sideways for many years?
>
> That's what happened in the period 1966-1982. The market went
> sideways or even lower. And when inflation is taken into account, the
> inflation-adjusted return in that time period was decidedly
> *negative*.
Probably why I wasn't interested in investing in stocks in my younger
years. ;-) Well since the peak of 2000 'til now is kind of the same
situation only with a tremendous drop in there. But goin' mostly
sideways for a bunch of years is probably worse since tough to make
money going either direction.
Fred
|