A Good Time to Buy

"A well positioned investor has real assets, usually in the form of real estate, for protection against inflation, cash for emergency purposes and living for at least six months without a job, fixed income, both short and long term, weighted for the investor's perspective on interest rates as well as need, and stocks, with stocks consistently providing the best return over a long period of time."

That's what Ted Allrich had to say about a practical diversified investment portfolio. An investor needs to understand that this portfolio is not built overnight but is a gradual process. And what contributes the maximum to this portfolio? STOCKS...stocks that are well analyzed and based on strong long term fundamentals and are held on to as a mode of investment for years. Not stocks that are bought to make a quick buck. So right now when the P/Es for quite a few good stocks are at record lows along with a discount to the book value, it is safe to say that this is the best time to buy stocks as a mode of long term investment. If you were to invest in an Index stock for at least 5 years, then your yearly average return would be at least 10% and if you think that stocks are a bit too much for you, then go for Systematic Periodic Investments in small sums in Mutual Funds.