I think that it’s very important to stay focused on the long-term with ASX shares.
The last 15 years has really shown that, in my opinion.
Around 13 years ago the world suffered through the GFC. At the time it seemed like the capitalist world may be coming to an end. But of course that didn’t happen.
If you sold during the GFC you locked in a huge decline. If you held through the GFC you’d have been okay with most investments because they did recover eventually. If you invested during the GFC then you may have seriously helped your financial life.
You could say the same sort of things about the COVID-19 market crash that we saw 12 months ago. Selling would have been a mistake, holding was probably the right thing to do, and there were loads of investment opportunities to buy.
What to do now?
There’s not a crash happening right now. Who knows when the next one is going to happen?
But I believe it’s important to keep investing. Whether it’s a quality exchange-traded fund (ETF) like Betashares Global Quality Leaders ETF (ASX: QLTY), a listed investment company (LIC) like WCM Global Growth Ltd (ASX: WQG) or simply good ASX shares such as Pushpay Holdings Ltd (ASX: PPH), Xero Limited (ASX: XRO) and Wesfarmers Ltd (ASX: WES).
Over the long-term shares have proven to be a great wealth builder. Despite all of the issues that pop up.
The GFC, Greece, Iran, North Korea, China, politics, the property market – there’s always something to worry about. But over time the profits of good businesses keep rising, and share prices normally follow over time.
I’m not as enthusiastic about share prices as 10 or 11 months ago. But I think there’s still some really good opportunities, particularly after share market wobbles in recent weeks because of inflation worries and interest rates.
As I’ve written about in other articles, there are some ASX growth shares I think look very attractive right now.
