How frequently to invest?

[maat55]

Good point. Just let me know before you tell disneysteve so I can get in before he does.

I spoke to the profit fairy last night, she said you could go ahead and start buying.

[MoneyTrev]

Make sure you let us know when it is profitable again. My crystal ball is in the shop.

Is this a joke?

By profitable I mean was the mutual fund didn't look like it was going to go up so I stopped investing in it and took that money to invest other things.

[maat55]

Is this a joke?

By profitable I mean was the mutual fund didn't look like it was going to go up so I stopped investing in it and took that money to invest other things.

Don't take it that serious Trev, you kinda left yourself open to that one.

[disneysteve]

By profitable I mean was the mutual fund didn't look like it was going to go up so I stopped investing in it and took that money to invest other things.

I think the point being made was that you don't stop investing in something because the market is off. Most of us here believe in dollar-cost-averaging, investing a set amount on a regular basis. That allows you to buy more shares when prices are lower and fewer shares when prices are higher. By stopping your investing in the fund when the price started to fall, you are ignoring the "buy low - sell high" method. As the market has fallen, I've continued to send money into my funds even though they are falling in value. In fact, I'm doing it because they are falling in value. When they eventually recover, which I believe they will, I'll have a lot more shares with a lower cost basis and I'll benefit more from the recovery.

If you wait until your fund starts going up again, you've missed that opportunity. Better to buy on the way down then to buy after it goes back up.

[cptacek]

I buy my taxable mutual fund on the 14th and the 28th, and my 401(k) every two weeks on pay day. Not much in the taxable mutual fund ($50), 4% in my 401(k) and the rest of any income not allocated to bills or food or gas to the farm (about $2000 a month). $50 is all I can do right now, and I treat it like a bill...doesn't matter what the market is doing, I'm buying on those days. Haven't even looked at my balance for months. I just keep sending it in.

[MoneyTrev]

I think the point being made was that you don't stop investing in something because the market is off. Most of us here believe in dollar-cost-averaging, investing a set amount on a regular basis. That allows you to buy more shares when prices are lower and fewer shares when prices are higher. By stopping your investing in the fund when the price started to fall, you are ignoring the "buy low - sell high" method. As the market has fallen, I've continued to send money into my funds even though they are falling in value. In fact, I'm doing it because they are falling in value. When they eventually recover, which I believe they will, I'll have a lot more shares with a lower cost basis and I'll benefit more from the recovery.

If you wait until your fund starts going up again, you've missed that opportunity. Better to buy on the way down then to buy after it goes back up.

Thanks for making something clearer to me.

I did it strictly because of financial reasons.