To those that were sitting on cash recently..

[andyalan10]

There was a discussion on the fool a few weeks ago where a number of people admitted to holding more cash than they usually do.

So, in the light of the fall in the FTSE over the last week or so, and the uncertainty of the next week around the US presidential election:-

Have any of you moved further into equities? What triggered your decision?

I made a small purchase once the FTSE was 2.5% off its recent high, and another larger one on Friday after a further fall of 3%. Small one was about 1% of portfolio size, free trade included in quarterly ISA charge. Larger one about 2% of portfolio size, and 20% of available cash.

Feeling very comfortable at the moment that if market falls further then I have plenty of firepower, and happy that at around 90% invested I am not going to miss out to much on any recovery.

Andy

[77ss]

I made a small purchase once the FTSE was 2.5% off its recent high, and another larger one on Friday after a further fall of 3%. Small one was about 1% of portfolio size, free trade included in quarterly ISA charge. Larger one about 2% of portfolio size, and 20% of available cash.

I don't pay too much attention to the FTSE, except as general background.

I am more interested in share price falls of 10% or more in my targets.

Astra Zeneca, for example, has fallen by about 15% recently, so is starting to tempt me.

[Itsallaguess]

There was a discussion on the fool a few weeks ago where a number of people admitted to holding more cash than they usually do.

So, in the light of the fall in the FTSE over the last week or so, and the uncertainty of the next week around the US presidential election:-

Have any of you moved further into equities? What triggered your decision?

I made a small purchase once the FTSE was 2.5% off its recent high, and another larger one on Friday after a further fall of 3%. Small one was about 1% of portfolio size, free trade included in quarterly ISA charge. Larger one about 2% of portfolio size, and 20% of available cash.

Feeling very comfortable at the moment that if market falls further then I have plenty of firepower, and happy that at around 90% invested I am not going to miss out to much on any recovery.

Andy

I mentioned on TMF a month or so ago that I was, for me, sitting on quite a lump of accumulated-dividends and also monthly investable-income that I would normally drip into the market but have over the past year or so been generally allowing to accumulate alongside the incoming dividends.

Having just checked, I'm currently sitting on around 12.5% investable-cash. It seems to have crept up a little all on it's own, with the recent market drops however..

I said over on the TMF thread at the time that I tend not to be a 'seller' during times where I'm worried about the market, but do tend to take the above approach alongside that 'never willingly sell' attitude. It's a strategy I seemed to have luckily discovered is one that I can very simply 'live with' in terms of still being active in the market in the main, and yet still allow myself to keep some powder dry during wobbly or volatile markets, so I can sleep at night knowing I'm at least doing 'something' to cater for what might well become real buying opportunities at some future point, generally in the hope of picking up some income-bargains during these volatile periods.

In terms of 'have you moved further into equities', then my answer would be to say no, not currently, although as I said over on the TMF thread, my cash level is now of a sufficient lump that with new funds becoming available each month from my take-home-pay, I am at the point now where I'm going to start drip-feeding those 'new' funds into the market at current levels. I don't see any need at all to keep accumulating cash, even though I'm no more confident in the market than I have been lately - it's just that I think my safety-buffer is there now and I can happily enter the market with new money outside of that, and still sleep soundly.

Anyhow, the above has worked for me over the years, and it's something that's not going to change now that I've settled on it. I'm happy dripping into the current market, for income-stocks in the main, with new funds as they become available now, but I'll keep the 12% or so safety-buffer for now as well, to see how the macro picture works out over the coming year or so. I do, hand on heart, expect further drops in the market due to the many external influences currently flying around, but I have no appetite to make my safety-buffer any larger than it currently is, and I can afford to take that approach mainly because I'm still in work and can drip new funds into any major market dips if they occur, taking advantage in a 'pound cost averaging' approach.

Not sure if the above helps with your original query, but that's my current position given the earlier discussions over on TMF around the subject.

Cheers,

Itsallaguess

[andyalan10]

Thank you both. I'm obviously a little more trigger happy than either of you.

If we get past tomorrow without the markets being spooked then perhaps we have a quiet couple of weeks before various European elections and referendums and an OPEC quota fudging meeting.

Andy

[Wizard]

I'm currently sitting with about 35% of investable funds in cash. Partly because my single largest holding (in RBS US issued preference shares) was called and partly as I have found it hard to find anything I do not view as over priced in some time. I keep convincing myself that something will flush out a few opportunities for me soon and I should just hold on until it does. In the meantime everything has generally been become ever more over priced IMHO .

As I am now semi-retired my primary focus is long term sustainable income, so in the main I am not looking for the exit in the future, but more an entry price that secures a good yield. Happy to look at bonds, prefs or equities in the hunt for income. Despite my failure to invest due to hoping the next big opportunity is around the corner I am somewhat less risk averse than most investors close to / in retirement when it comes to diversification / concentration.

Fingers crossed for some very negative reaction to the US election tonight .

Terry.

[casapinos]

With respect to the news coming out of the US overnight - remember the buffettism"buy when others are fearful".As with the Brexit vote I intend to buy on a market overreaction,adding to RDSB and GSK if there is a sharp fall today

[Breelander]

...I intend to buy on a market overreaction,adding to RDSB and GSK if there is a sharp fall today

As of 30 seconds ago, live prices were: RDSB -40 GSK +40
Funny, I'd have expected more of a reaction.