Looking for answers on why move allocation and contributions

[Optimus187]

I'v been in CSI since last year and had a rate of return of 23% to 21% all year long. I am still in CSI and have stayed there with only making future contribution 100% to I, been that way since half way through last year.

Why would it be better to move allocations and contributions into a fund? Wouldnt it be better for me to keep what i bought low and is currently high and only keep buying the I fund like I have been.

I just dont understand why when advice is given to move in position, its for both allocations and contributions.

I am tempted to to move my allocations into the I fund since I already have future allocations to that fund, but I just don't understand why since I would be buying at market highs.

All thoughts and advice would be appreciated, since Im not the most well versed in this stuff. Thanks

[fordest]

Won't you still be buying at the same market highs when you make those moves incrementally anyway? I'd argue that buying high isn't the real problem. It's the selling low that hurts. Even if you buy high. You are fine if the market keeps going up.

"It's not the fall that kills you. It's the sudden stop at the end"

[evilanne]

Take a look at Aitrus's thread: Seasonal Musings 2018: http://tspcenter.com/forums/viewtopic.php?p=68314. It explains the concept of seasonal investing. In a strong bull market buy and hold & daily cost averaging works very well--if you are happy with your results--keep doing what you are doing. After you read Seasonal Musings, you may also want to take a look at the tspcalc daily strategies and see how your returns compare to the different strategies. For those of us who rode out the 2008 recession in the stock funds, at different stages in life and with different risk tolerances, the utility of seasonal strategies makes sense. It is another option that you may want to consider if and when your situation changes or the markets changes.

[Optimus187]

Thank you for the replies. Very appreciated. I always come to this site for guidance and it's members are awesome. One of the few sites where being positive is important