The Risk of Market Timing

The Risk of Market Timing

June 15, 2020

The Risk of Market Timing

The slide below shows how important it is to stay fully invested and how missing even a day of large gains can substantially lower overall returns. We've heard it often said that successful long-term investing isn't about "timing the market" it's about "time in the market" and this slide demonstrates why that can be true.

At Portfolio Solutions® we guide our clients to an asset allocation designed toward accomplishing their long-term goals. In times of market volatility, we rebalance accounts to remain consistent with this pre-determined asset allocation. Disciplined rebalancing by its nature causes us to "sell high and buy low" when, for example, bonds rise, and stocks decline.

In addition to managing investment portfolios, our team of advisors can also assist with:

  • Helping refinance debt
  • Executing conversions from traditional IRAs to Roth IRAs
  • Scheduling retirement plan contributions
  • Setting up lines of credit
  • Analyzing cash reserves
  • Consolidating investment accounts for better transparency, uniform management, and lower fees
  • Facilitating the addition of cash balances to accounts to rebalance and take advantage of current market conditions
  • Providing tax planning assistance and estate planning assistance in coordination with tax and legal professionals
  • Analyzing Social Security claiming strategies
  • Planning and executing Required Minimum Distributions (RMDs)
  • Providing owner guidance for our clients who are responsible for business concerns during good times and bad

Not a current client, but ready to get started? Call us at (800) 448-3550 for information about Portfolio Solutions® and how we can serve you!

All information presented is compiled from sources believed to be reliable and current, but accuracy cannot be guaranteed. This information is distributed for education purposes, and it is not to be construed as an offer, solicitation, recommendation, or endorsement of any particular security, product, or service, nor should it be construed as tax or legal advice. Please click here to see our blog disclosure, which immediately follows the "Applicable Law and Venue" section.