MI216: Time in the Market vs Timing the Market (Mini Episode)
The Intrinsic Value Podcast - The Investor’s Podcast Network
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How Investment Strategy Can Affect Your Total Wealth Over a 20 Year Time Period
Study compared five investors who all implemented very different investment strategies, to see how just investment strategy alone impacted their total wealth over a 20 year time period. Unsurprisingly, the market timer who was able to perfectly, but unrealistically, time the market every year for 20 years ended up with the most wealth accumulated. But what is more surprising and important to note is that perfectly timing the market didn't win by that much. Even if you were someone who invested your money each year at the worst possible time, every year straight while, your investment still grew substantially over the period.
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