Investment Myths: Market timing..

“This is a good time to enter the market”
What bull shit. Complete bull. Nobody, repeat nobody knows whether it is a good time to enter the market or not to enter the market.

So what do we do? We watch TV or ask our broker.

If the TV anchor says wait for 5 months, they lose a viewer for 5 months.
So we ask our broker. He lives on the velocity of our portfolio.
Both love you. They cannot hurt themselves, can they?
So they say..

‘get out of volatile stocks like commodities and get into defensives like fmcg, pharma etc’
or ‘rate sensitives will find it difficult if interest rates go up – and we are at the upper end of the interest rate cycle…so get out of rate sensitives like …’
or
‘the markets are overheated, it would make sense to sell infrastructure stocks and enter day to day consumables like fmcg’

….was it not Warren Buffet who said if you ask a barber ‘do i need a hair cut?’ what will he say
“This way…Sir!”

Why do I have to remind you regularly…you know it na?’
Source:Subramoney.com

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