Published on: 09/19/2022
Gloom casts a pall over the stock market. Financial experts say these are the ways you can stay invested.
For financial planner Scott Bishop, of Avidian Wealth Solutions in Houston, Texas, the market downturn is a buying opportunity. His strategy with client money is to keep a portion of their portfolios, usually around 10%, in laddered Treasury bills spread out in two-week increments, going out about six months to a year. As each tranche comes due, he and clients decide how they are feeling about the market at that moment.
“I ask: Are we OK putting money in? And if not, we’ll push it to the back of the line,” Bishop says, and reinvest it in Treasurys
If there’s a sudden buying opportunity, like the S&P 500 falling past a key support level, then he might accelerate the two-week cycle and sell the next maturing T-bills early to free up cash to buy equities.
“It’s instant-day liquidity, so I can deploy, and then I send an email to clients to update them,” Cash Deployment – Gloom casts a pall over the stock market. Financial experts say these are the ways you can stay invested. – MarketWatchSee Full Article