With the exception of resource companies I invest for the long term based on a number of factors (mainly fundamentals). However, lately I’ve been having a hard time finding any attractively priced equities that I’d want to hold for the long term (if you’ve found any let me know). I have a personal philosophy that once money enters my investing account it can’t be taken out until retirement. As a result, I’ve been accumulating cash in my regular bank account (which isn’t included in my monthly nest egg statements). Instead of depositing this money into my nest egg investing account I am going to be using this money on real estate in 1 of 2 ways:
1. Going to pay down my existing mortgage (which would be equivalent to generating a guaranteed after tax return of 5%)
2. I’m in talks to purchase a house privately and would use this money as a down payment/deposit (would be over a year closing time).