The Perfect Time to Invest

Is today the perfect time to invest in stocks for the long term?  Maybe, history shows that the price of the permanent ups in the market is making it through the temporary downs.  No matter what happens in China, we will still be drinking tea from Nestle’, driving cars made by GM on tires manufactured by Goodyear, with gas purchased from Exxon.

I remember a story from early in my career, maybe it’s true, maybe it is a parable but it certainly is appropriate to remember when the stock market is in a panic mode.

The story goes that a very smart advisor would tell each of the investors who opened an account with her the following:

Mr. and Mrs. Smith, today we begin a long journey to build your financial future.  Everyone is happy and optimistic as we begin to build your wealth for the long term.  We have built your financial plan and today we begin to implement that plan.  All is sunny skies and smooth waters.

But, the day will come when the markets turn down and you begin to second guess all the work we have done.  You will forget about the long term and focus on the short term turmoil in the markets.  You will be scared, you will think me to be an idiot.  You will want to come to my office and throw a brick though my window.

And that is okay.  If it will make you feel better please do it.  I will even give you the brick to throw. 

But, when you have that brick in your hand.  When you have taken aim, when your arm is cocked and ready to fling that brick, STOP! Write a check to add money to your investment account and tie it to the brick.  Then you can throw it.  Because that, my friends, will be the perfect time to invest!