I am taking a year off before going to University and I've amassed a healthy sun of money(~$15k).
Should I put it into an ETF(VFV specifically) for a year and take it out then? Would it be safe to assume that in around a year it wouldn't keep falling and be a low? - I'm guessing it should rebound by next year for sure...
1. Never invest money you need to spend
2. 15k is not a health sum, it won't even cover the menial labor you'll be paying to do.
3. Don't skip a year before college if you're not going to spend it working or travelling the world full time. Your social life will be utterly shit upon.
>I'm guessing it should rebound by next year for sure..
You really think so? If you bought stock in October of 07' you would have to wait until March of 13' before you made it back to even. By all accounts, the bubble is actually bigger now, and totally out of our control (oil and China) The last 2 weeks have been the worst open to a market in history Im not putting a penny in until we have at least a few weeks of steady results. I fear that RBS might have been right however and we are really living in a 15,000 kind of world
But the Dow objectively belongs at 6000.
The reason that everyone has been doomsaying so much over the last few years is because of how impossibly artificial the current stock market valuation is.