Saturday, November 13, 2010
Recent Philippine Stock Market Performance
The Philippine stock market index has been going down for the last six business days. I won't pretend to understand the reasons, but from what I read it is an expected correction. The timing of the drop couldn't be better. I was not able to make my scheduled investment last month, so this month's investment is P2000. Since my mutual fund invests in stocks the NAVPS dropped with the stock index. That means lower-priced shares and more shares bought. If the prices continue to drop through December I might be tempted to invest more to "average down" my investment but that might lead to my trying to "time" the market. I'm beginning to understand how ir's sometimes difficult to stick to a boring strategy like cost averaging.