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Originally Posted by 1stLand
If a person has their investments in a robo-advisor platform like wealthsimple and its all in CASH at the moment, what would be a good risk profile to get back in the market at when it reaches bottom?
A 9 or 10 (portfolio made up of various ETFs and no bonds) risk profile to capitalize on equity growth when the market recovers? Or a balanced portfolio of 60/40 weighting?
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If a person doesn’t follow it closely, and can’t value a company. Their best bet is to dollar cost average the S&P 500 or Dow Jones Index fund. I would take your age and substract it from 100 to figure out how much to keep in cash, and how much to invest. The number you come up with is the percentage you invest in the index fund. The rest just leave in cash given the return on bonds, the liquidity of cash is worth more. If you really want to have it invested somewhere safe maybe a GIC.
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