A common worry for new investors is timing: Should I wait until the market dips? Is now the right time? It’s a fair question—no one wants to invest just before a crash. But here’s the truth: perfect timing is almost impossible. What matters more is simply getting started.
1. Market timing is a myth
Even the professionals can’t consistently predict when the market will peak or bottom. If they could, every fund manager would be a billionaire.
- Sometimes markets look expensive, yet keep rising.
- Other times, they look cheap, but keep falling.
Waiting for the “perfect moment” often means missing out altogether.
As Peter Lynch, one of the world’s most successful investors, once said:
“Far more money has been lost by investors trying to anticipate corrections, than lost in the corrections themselves.”
2. The cost of waiting
Let’s say you had £1,000 to invest. If you waited for the “right time” and kept that money in cash while the market went up, you’d miss out on growth.
- Studies show that being in the market is usually more important than picking the perfect day to enter.
- Over decades, time invested beats timing every time.
3. Pound-cost averaging: a simple solution
Instead of worrying about timing, spread out your investments. This is called pound-cost averaging:
- Invest a set amount each month (e.g. £100).
- When markets are high, you buy fewer shares.
- When markets are low, you buy more.
This smooths out the ups and downs and removes the stress of “should I wait or go all in?”
4. Why starting early matters
The earlier you begin, the more time your money has to grow. Compounding works best with time:
- £100 a month invested at 6% growth for 10 years = about £16,000.
- The same £100 a month for 30 years = about £100,000.
Delaying just a few years can make a big difference.
5. So, when should you start?
The best time to start investing is… once your financial foundations are in place (emergency fund, debts under control). After that, the answer is almost always: now.
6. The bottom line
- Don’t wait for the perfect day—it doesn’t exist.
- Start small and steady with pound-cost averaging.
- Remember Peter Lynch’s advice: waiting can cost more than corrections themselves.
- Everyone one to wait for the dip, until it happens
The sooner you begin, the longer your money has to work for you.
✅ Next step: Check out our guide “How Much Should I Invest?” to decide your starting amount.
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