should investors bulk-buy or drip-feed?
With the Australian share market climbing to just under its 11-year peak this week, and the economy slowing to its lowest rate in more than five years, investors sitting in cash are starting to ask: should I wait for the “market to crash” before I invest?
This investment strategy is often called ‘timing the market’ – where investors try to beat the market by switching in and out of securities or between types of funds.
We here at Morningstar are not keen on market-timing. Evidence suggests that it just doesn’t work. Predicting market movements is near impossible, even for the best and brightest investors.
And other professionals agree.
“My view on timing the market is pretty simple. Nobody really knows if the market is going up or down…
