Are the Markets Too High to Invest?

Thrugelmir

JohnRo wrote: »

I think we do know what, valuations will rise and fall, sometimes a little, sometimes a lot.

It's the when part of that equation that's the unknown.

Investing is a skill. Buying shares in the hope that they will rise in value and can be sold at a profit is speculation.

masonic

Thrugelmir wrote: »

Wrong. Why? Because in May 1997 responsibility for setting rates was passed to the BOE. Politicians could no longer meddle......

Who controls appointments to the MPC?

Thrugelmir

masonic wrote: »

Who controls appointments to the MPC?

Four of the members are internal bank staff.

masonic

Thrugelmir wrote: »

Four of the members are internal bank staff.

Yes, and the other five are appointed by the Chancellor.

fairleads

Are the Markets Too High to Invest?
It’s your decision.
My take, as a retired individual, and given the past market history, is that with a capital gain equivalent to 6yrs worth of dividend income, its time to bank the gain.

StellaN

fairleads wrote: »

Are the Markets Too High to Invest?
It’s your decision.
My take, as a retired individual, and given the past market history, is that with a capital gain equivalent to 6yrs worth of dividend income, its time to bank the gain.

That's fair enough and I do understand the logic. I suppose I'm optimistic that there is still some scope for growth in the markets.

masonic

StellaN wrote: »

That's fair enough and I do understand the logic. I suppose I'm optimistic that there is still some scope for growth in the markets.

Investment horizon is a major factor.

Thrugelmir

masonic wrote: »

Yes, and the other five are appointed by the Chancellor.

I know what you are inferring. However their responsibilities as members of the MPC are at the very least highly transparent. Which you would find if read the full monthly minutes. Not just the media headlines.

masonic

Thrugelmir wrote: »

I know what you are inferring. However their responsibilities as members of the MPC are at the very least highly transparent.

You mean what I am implying.

My comments were in response to your statement that politicians could no longer meddle. Well, they can.

Which you would find if read the full monthly minutes. Not just the media headlines.

Erm, I was actually basing my comments on the peer-reviewed literature, for example, this article.
Edit: Full draft version available here.

ChesterDog

StellaN wrote: »

That's fair enough and I do understand the logic. I suppose I'm optimistic that there is still some scope for growth in the markets.

I think you mean "...in the short term, before a possible correction".

Ultimately, there is indefinite scope for growth.

At least I hope there is... That's the reason I have invested and intend to remain invested indefinitely.

That longterm prospect makes the short-term possibilities far less important and far less significant.