Recently, I decided use my spare cash, which was earning a low rate of interest, to invest in the stock market. My reasons were:
...- The stock market had dropped by 20% from its peak
- I am investing for the long term, more than 10 years
- Warren Buffett had said that the companies under Berkshire Hathaway's portfolio were showing good results (except for those involved in the housing market).
A few people asked if it was safe to enter the stock market, and I gave the same view.
I was quite surprised that the stock market did recover strongly the past few days. It was unexpected. However, it does not really matter for a long term investor.
I asked my stockbroker for a list of blue chip shares and REITS showing the drop in their prices since their recent peaks and the dividend yields. I was surprised to find several blue ...
