Starting Over

[sanman12]

Moved out of equities when Lehman Failed 9/22/2008
All Cash in Vangaurd 401k 20 years of savings available, was 90% in equities before that date.

Started to buy on 10/9/08 in the following indexes

S&P VFINX
Small Cap VEXPX
Large Gowth VPMCX
International Growth fund VWIGX

How often, in what increments and allocation would you commit over the next several weeks.
10 years to retire..

 

[Gone4Good]

Moved out of equities when Lehman Failed 9/22/2008

Nice call!! (you dirty market timer)

 

[Animorph]

There is no one answer. I'd probably go about 1/3 - 3/4 now (the market seems awfully low right now). Spread the rest evenly over the next 3-6 months. And/or add 15% more each time the market goes down 5% or more. It kind of seems like the market will either go down significantly or go up significantly, depending on the news. I don't see it just hanging around at this level for very long.

I put the last of my cash from 2007 into the market 10/10, so I'm all in unless I borrow from the HELOC.

 

[cute fuzzy bunny]

Eh, I dont know if I'd call the market "awfully low". If you look at price trends for the major indexes prior to the 1995- market, the trend seems like it'd have put the s&p 500 at somewhere between 700-950. It seems the trend picked up starting in the 80's, possibly due to the extensive use of credit and leverage.

So its possible we might be somewhere between fair and slightly over valued right where we are now.

I like that 1600 point level a whole lot, but it may not be something we see again for quite some time.

Orrr...we might be there by mid november.

 

[FinanceDude]

I'd DCA what I want into equities at 10% a month for 10 months..........