Should you buy index funds at all time highs? – Warren Buffett

Base on Warren Buffett, it appears that yes is ok for you to buy a broad index funds at all time highs. Dollars cost averaging is way to look it. Do not buy a big lump sum, instead buy during a long period time.

Base on warren Buffett the very notion of a index fund is that you think that a company will do well over a long period of time. So you should invest over a long period of time. You should not do any bet impulsively by investing a lump sum.

This sound like dollar cost averaging to me.

These are quotes from Warren Buffett.

“Don’t make any bet impulsively by putting a big chunk in at a given time”

” I don’t know enough to pick the winners, and I don’t know enough to pick the winning times“

These two quotes are from Warren Buffett one of the people with the best investing skills in the entire world.

So if someone with one of the best investment skill in the entire world can’t time the market. Doesn’t know enough to pick the winners and doesn’t know enough to pick the winning times.

What chance does the rest of us have? definitely the chance we have is close to none.

So since we can’t time the market, as long as the investment is on the long run and we have a feeling that the company will do well in the long run.

then is ok to invest into a broad index fund at all time high.

Start and adjust as you go.