Actually, we've heard about the impending market crash for several years now. The reality is, no one really knows when the stock market will go up, down or stay level. People who moved out of the market a year or two ago lost an opportunity for some pretty astounding gains. The best strategy is to invest according to your financial goals and time frame. As we try to get the most for our money, we can drive ourselves crazy trying to guess which investments will be better than others.
Few people are successful at market guessing.
If you select a variety of investments whose performance peaks at different times, you will lower your risk. When you need your investment money, you can take it from the investment that is doing well at the time. If you have the time and inclination to thoroughly learn about individual stocks, bonds or real estate, then you could have an investment portfolio that outperforms mutual funds. If, on the other hand, you want to invest for future needs but have neither the time nor the desire to do your own research, you'll probably find that mutual funds are a good way of diversifying. Your job is to refine your needs to develop a unique plan for you.