Replies to post #12753 on General Stock Ideas

[gfp927z]

Ombow, >> if the overall market takes a nosedive <<


There's bound to be big trouble for the markets/world eventually. Periodic crashes have been occurring every 10 years or so for some time. We'll likely see something before too long, and N. Korea is an obvious trigger for a crisis.

That being the case, it's tougher to think buy/hold these days, although if one has a long enough time frame (decades) then you could just ride it out. That's easier to do if you're younger, but even for us geezers, if you own a broad group of large cap dividend stocks you would still collect most of the dividends during an extended bear market, and eventually the stocks should recover.

That's how my dad's portfolio is structured. He uses a full service broker and almost never buys or sells. He has 2/3 in bonds and 1/3 in dividend paying large cap stocks. You'd also probably want a 5-10% physical gold position as disaster insurance.

Trading is a whole other topic.

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