"1. "The Stock Market's been the best place to be over the last 10 years, 30 years, 100 years. But if you need the money in 1 or 2 years, you shouldn't be buying stocks." As a 60-year-old investor, the whole idea that someone would be looking to make significant earnings in 1-2 years in the stock market is an essential piece of advice from Peter Lynch. In other words, Peter's arguably saying that anyone at this point in their life should have either A) already made their money or B) need to look at alternative options like annuities if they need big cash infusions right now."
"2. "You never can predict the economy. You can't predict the stock market." With this quote, Lynch is telling every investor, 60 years old or otherwise, something they should already know: you can't predict the market, no matter how hard you try. Trying to time getting into the market on what you think is a "down" day is a good way to end up losing far more than you thought you might be earning. 3. "You lose money fast in the stock market. You can't make it fast." This is yet another classic Peter Lynch reminder that by the time you turn 60, you should have already made a lot of your money. The likelihood of entering the market today and earning enough to signific"
The stock market has produced strong long-term returns over decades, but requires a multi-year horizon to realize gains. Investors who need cash within one to two years should avoid buying stocks and consider preservation-focused alternatives such as annuities to meet near-term liquidity needs. Market direction and the economy cannot be reliably predicted, so attempts to time entry or exit increase the risk of losses. Losses in the stock market can occur quickly while meaningful gains typically accumulate slowly, making capital preservation and realistic time horizons essential for those near retirement.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]