alt Hacker NewsHold short term debt (e.g money market funds or SOFR ETFs). Then you will have cash in hand if either stocks fall or yelds raise.
Never buy derivatives as a non institutional investor.
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fhdkweig • yesterday at 7:25 PM
I moved 80% of my money out of Vanguard's Target Date Retirement funds and into a money market on June 1st. In the 1.5 months since, the remaining Target Date Retirement fund has fluctuated up and down by about 0.1%. It has basically plateaued. I don't think I am losing out on potential short term gains. I like the idea that I have cash available to buy in on the day of the crash.
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marojejian • yesterday at 7:20 PM
Why should a retail investor never buy derivatives? spreads?
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georgeecollins • yesterday at 7:12 PM
100% this is great advice!
It's worth adding that conventional wisdom says, you can't time the market. On average, people shifting between cash and stocks to time shocks lose out over just holding a fixed portfolio.