Wednesday, July 18, 2012

Patience

In the investing world of today, waiting for the right price doesn't take too terribly long. This is something that I need to remember as I'm currently sitting on a 25% and 21% cash position in my brokerage account and my Roth IRA respectively. That's a much bigger cash position than I would normally like to be at. When I have this much powder it's very tempting to go on and make some purchases to add to my dividend growth investments but overall the positions I want to get into just aren't at the right price right now. I was thinking of adding more to my recent Emerson purchase but that's out of the question with the recent 5% increase since my purchase.

It'll pay much more in the long run for me to wait, sometimes it's just hard to sit on the sidelines, but you never know when Angela Merkel might sneeze leading to a 5+% pullback in our markets creating much better buying opportunities. As Buffett said "Price is what you pay. Value is what you get."

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