That’s an interesting game but it assumes the same amount either in or out all at once. Not what I’m describing where each month you invest a set amount into the market each time. This is what 401ks do. While the beat the couch is pretty cool it doesn’t take into account the dollar cost averaging aspect. It’s all in or all out. It’s not in, then buy more, then buy more, then buy more then buy more etc…you get the picture.
Having said that it is absolutely true that time in the market is better than timing the market.
Might want to check this out: Beat The Couch.
That’s an interesting game but it assumes the same amount either in or out all at once. Not what I’m describing where each month you invest a set amount into the market each time. This is what 401ks do. While the beat the couch is pretty cool it doesn’t take into account the dollar cost averaging aspect. It’s all in or all out. It’s not in, then buy more, then buy more, then buy more then buy more etc…you get the picture.
Having said that it is absolutely true that time in the market is better than timing the market.
I fully agree it’s not a complete stock market model, but I don’t think It claims to be.
I don’t remember it addressing what happened to dividends paid; are they just banked, reinvested, etc.
It’s certainly a cool tool