While these numbers might seem minuscule in the big picture of things, there is an important message to take from this.
The market moves every day. Sometimes by a little, and sometimes by a lot. If you take the emotion out of your investing the daily, weekly or even monthly moves of the market shouldn’t be an issue to your portfolio.
The Key…
Constant investing!
Every Friday I put a $100 deposit into my brokerage account. Every month I put $500 into my Roth IRA. By investing in a constant schedule I can ensure myself DCA (Dollar Cost Averaging). By doing this, when the market goes up I am investing the same amount as I would when the market goes down. The only difference is that when the market is down for the week or month, I buy more shares of the mutual fund.
By sticking to my investment plan and constantly investing, I have little care for how the market swings each day, week or month. Timing the market is never a good idea. Very few have the ability to beat the market.
My advice: Keep it simple. Constantly invest the same amount each month into a mutual fund, stock, etc. Allow compound interest to accrue. Give it time.
Budget Smart, Invest Wise