One another strange thing I experience and it looks more psychology related…when I buy stocks I know the exact price I am triggering the order…say stock x is down 10% today and was down 5% yesterday so I buy it at real time price…however for MF, price is not real time…I know daily fluctuations do not matter in long term but even if I am ok to buy at closing price…that also I get confused as there is some cut off time like 11 am or 1 pm, post which you get next day’s NAV…so if I buy at say 10 am, I don’t know what happens rest of the day if market plunges or goes up 3%…and if I buy at 2pm…I have two day’s uncertainty to handle and if in those two days market cumulatively up 6%, then that’s a lot to loose from perspective of MF
So there is a mental block while buying and proper strategy devising becomes difficult if you are a disciplined slow buyer…It might work with bulk buyers who wait for extreme pessimism and only then buy or even for extremely passive SIP investors…for middle men like me, it seems very difficult…
Thoughts welcome!
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