With the STI index dipping below 2,700 in recent days due to the oil rout and the stagnating Chinese economy along with its volatile stock market/casino, some investors are feeling jittery. However, there are others that are getting excited and greedy, as the stock market seems to be on sale.
Yeah, I still want an annualised 7% return from my portfolio!
In this bear market, I am also formulating a plan to utilise some of our cash reserves prudently to maximise my returns. However, it is even more important for us not to overcommit and put too much of our money in a falling stock market. After quarter-retirement, the last thing I want is to lose my sleep worrying about stock prices. Or worse, capitulating in a bear market and selling everything off cheaply.
Therefore, to better calculate the war chest I have for this bear market, I have decided ......