Comments on: When Things Clear Up http://www.behaviorgap.com/when-things-clear-up/ Exploring the relationship between people and their money. Tue, 09 Mar 2010 06:52:18 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: SJ http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-910 SJ Fri, 24 Apr 2009 03:15:07 +0000 http://www.behaviorgap.com/?p=995#comment-910 Ya know, i think i saw an interesting article a while back... that advocated buy and hold.<br>The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.<br><br>Thats just silly... I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally) Ya know, i think i saw an interesting article a while back… that advocated buy and hold.
The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.

Thats just silly… I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally)

]]> By: SJ http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-265 SJ Thu, 23 Apr 2009 22:15:07 +0000 http://www.behaviorgap.com/?p=995#comment-265 Ya know, i think i saw an interesting article a while back... that advocated buy and hold.<br>The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.<br><br>Thats just silly... I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally) Ya know, i think i saw an interesting article a while back… that advocated buy and hold.
The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.

Thats just silly… I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally)

]]> By: SJ http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-407 SJ Thu, 23 Apr 2009 20:15:07 +0000 http://www.behaviorgap.com/?p=995#comment-407 Ya know, i think i saw an interesting article a while back... that advocated buy and hold.<br>The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.<br><br>Thats just silly... I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally) Ya know, i think i saw an interesting article a while back… that advocated buy and hold.
The logic was shwing what happens if you leave the market after massive losses and only to return when the market returns to the old value.

Thats just silly… I think just as important as deciding when you will exit the market is an re-entry strategy. The problem is that htat is way too hard (normally)

]]> By: Brian B http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-263 Brian B Wed, 22 Apr 2009 17:35:46 +0000 http://www.behaviorgap.com/?p=995#comment-263 I've only had a handful of clients go to cash, but most of them are there for the foreseeable future because they're so scared. I had this exact conversation with my one "I'll get back in when things clear up" guy a few weeks ago.<br><br>If you get out at some emotional/subjective point (in his case, Dow 7000), how can you expect to develop objective, reliable signposts that things have actually cleared up and that it's time to get back in?<br><br>In my mind, things never clear up. Uncertainty and change is what moves the markets every day. We just tend to think they're more understandable when things are moving up because we're not scared. I've only had a handful of clients go to cash, but most of them are there for the foreseeable future because they're so scared. I had this exact conversation with my one “I'll get back in when things clear up” guy a few weeks ago.

If you get out at some emotional/subjective point (in his case, Dow 7000), how can you expect to develop objective, reliable signposts that things have actually cleared up and that it's time to get back in?

In my mind, things never clear up. Uncertainty and change is what moves the markets every day. We just tend to think they're more understandable when things are moving up because we're not scared.

]]> By: Jeff Burrow http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-262 Jeff Burrow Wed, 22 Apr 2009 16:54:15 +0000 http://www.behaviorgap.com/?p=995#comment-262 Carl, you are so correct!! I have been preaching these same words for the last 3 months. I ask clients, "What criteria will you use to determine when "things have cleared up?" No one has a good answer. It is very subjective. "Well, you know, the market will be doing better and we'll be able to see that things are better."<br><br>Not likely. Carl, you are so correct!! I have been preaching these same words for the last 3 months. I ask clients, “What criteria will you use to determine when “things have cleared up?” No one has a good answer. It is very subjective. “Well, you know, the market will be doing better and we'll be able to see that things are better.”

Not likely.

]]> By: Brian B http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-406 Brian B Wed, 22 Apr 2009 15:35:46 +0000 http://www.behaviorgap.com/?p=995#comment-406 I've only had a handful of clients go to cash, but most of them are there for the foreseeable future because they're so scared. I had this exact conversation with my one "I'll get back in when things clear up" guy a few weeks ago.<br><br>If you get out at some emotional/subjective point (in his case, Dow 7000), how can you expect to develop objective, reliable signposts that things have actually cleared up and that it's time to get back in?<br><br>In my mind, things never clear up. Uncertainty and change is what moves the markets every day. We just tend to think they're more understandable when things are moving up because we're not scared. I've only had a handful of clients go to cash, but most of them are there for the foreseeable future because they're so scared. I had this exact conversation with my one “I'll get back in when things clear up” guy a few weeks ago.

If you get out at some emotional/subjective point (in his case, Dow 7000), how can you expect to develop objective, reliable signposts that things have actually cleared up and that it's time to get back in?

In my mind, things never clear up. Uncertainty and change is what moves the markets every day. We just tend to think they're more understandable when things are moving up because we're not scared.

]]> By: Jeff Burrow http://www.behaviorgap.com/when-things-clear-up/comment-page-1/#comment-405 Jeff Burrow Wed, 22 Apr 2009 14:54:15 +0000 http://www.behaviorgap.com/?p=995#comment-405 Carl, you are so correct!! I have been preaching these same words for the last 3 months. I ask clients, "What criteria will you use to determine when "things have cleared up?" No one has a good answer. It is very subjective. "Well, you know, the market will be doing better and we'll be able to see that things are better."<br><br>Not likely. Carl, you are so correct!! I have been preaching these same words for the last 3 months. I ask clients, “What criteria will you use to determine when “things have cleared up?” No one has a good answer. It is very subjective. “Well, you know, the market will be doing better and we'll be able to see that things are better.”

Not likely.

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