A Strategy For Buying The Entire Marketplace
Welcome back to the Rude Awakening for Wednesday, April 7, 2021.
This morning, I want to show you one of my favorite bullish strategies. It’s pretty straightforward once you understand the components involved in it.
I’m talking about investing in SPY.
SPY is the ETF that tracks the S&P 500 index. And sometimes, instead of looking for the needle in the haystack, you can just buy the haystack!
You can own the entire marketplace and don’t have to pick and choose to find that specific stock or sector to focus on.
You know, over a 10-year period, there has never been a time in the history of the stock market where you didn’t make money had you just bought and held.
Of course, it has its ups and downs like any part of the market, but overall you know what you are going to get over time.
But there is some volatility involved in the process as well.
Today, I want to show you a unique way to buy shares of SPY to have ownership in the entire marketplace…
A Strategy For Buying SPY
If you wanted to buy 100 shares of the S&P 500 ETF (NYSEARCA: SPY), it would be about a $40,000 investment.
And that’s a pretty hefty sum for many.
Now, you could use margin where your broker puts up half the money to use for investing… and that would be $20,000.
Still, $20,000 to use for one single investment may be a lot to stomach for many individuals.
But, I want to show you a strategy today that could reduce your cost basis a bit and let you take advantage of this bullish market…
Have a great trading day, folks.
We’ll talk tomorrow!
Editor, Rude Awakening