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Cash investing: friend or foe?
- Financial Advice
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- 21.12.22
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Deciding whether to hold cash or invest in the stock market can be a difficult choice that is typically driven by a risk averse attitude and a more limited capacity for loss. However, any decision to invest in cash can come with serious consequences for long-term growth potential. Investing in cash can often be a result of investors excessively focusing on short-term economic news, poor company earnings, or disinvesting with the herd if markets suffer a correction. This focus is often at the expense of company fundamentals and long-term value creation. Cash investments may make sense if investors...