Question

Just sold some stock options and have some cash to reinvest. Would like to go basic with an Index ETF, but the prices are at an all time high. Do you wait out the market and sit on cash? Any good options? Just dump it in Betterment and let them run the show?  

Answer 1

Just invest it. If you just sold it then the stock was most likely at a high anyway. Time in the market over timing the market.  

Comments

Agreed, maybe break it up and put some of it in each day/week to dollar cost average

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@plenum I really like these guys and their Animal Spirits podcast. They had an episode a week or two back about the ETF XOUT. I’ve been tracking it versus the SPY and I think this will be my new index fund going forward.  

Answer 2

Couldnt agree more with Thankslers post

Answer 3

Open an account at Wealthfront. All accounts have daily auto rebalancing. So, volatility is handled by rebalancing based on predetermined percentages. If you open a taxable account, they pair rebalancing with tax loss harvesting. Accounts over $100k also get risk parity and direct indexing.  

Answer 4

Never try to time the market!