Does the Blind Index Foundation make money? Many investors do not know much about investment strategies, and they always invest in index funds without considering valuation indicators. Will this also make money? Here is a brief introduction to solve your questions.
Many investors will ask: If we don't consider valuation indicators, we stick to buying index funds, can we still make money?
If we don't consider the valuation, we can really stick to the fixed investment for a long time and make profits, because index funds are rising for a long time. As long as we keep the fixed investment, the final income is positive. For example, the fixed investment started in 2007 when the bull market was at its highest level and has been profitable until now.
But we should not only aim at "no loss" when making investment. And if you buy at a high level, it may take a long time to start making profits. The process is very long. Most people can't stand not making money for such a long time.
So, We still need to consider valuation when investing, and make investment decisions in undervalued regions, which can ensure that we will not have too large floating losses in the short term, and will also have better returns in the long term.
