I just wanted to ask for some general advise while I understand you cannot give financial advise and I must do at my own risk.
I am currently 28, married with 1 son and renting. I currently have $30,000 in the stock market, mostly of which are in the AU market. They are mostly made up of growth stocks which include TME, VRT, S32, CWN, SOL and a few others. I used to invest in small caps, but I learnt the hard way that you mostly lose money in this area unless your a gun. If i ever invest in small caps again I will mostly definitely do it through a fund manager which is what I should have done from the start.
Also the main reason I have not got inteo property is because I cannot afford it. I dont have your typical stable job and I can only get finance of about $200,000 with a dependent. We are low income earners but through hard work I have managed to save and we can put away $380 per week which is pretty good for us.
My question is, I currently have $50,000 in Cash and I put $380 into the bank per week. The interest rate is only 4% but I am generally a bit worried about the markets in general. I feel they may be on the higher side of the cycle? Otherwise I would put the 380 per week into an Index Fund or pick some good ASX50 stocks. I personally feel the DJ is most probably open to a correction at some point. And the Chinese markets seems like it going beyond its FA. I read a lot of companies have P/E ratios of 40+??
My current strategy was to just save and wait for an eventual market correct and up my exposure to the markets, including international markets??
What are your thoughts guys?
Thanks in advance.