What are the pros and cons of waiting for a year before deciding whether to invest or not?
Answer:
The time value of money is one of the disadvantages that an investor can face if he decides to wait for a year before investing. There is a risk for the change in the interest rate or the return rate in a year’s time. It might increase or decrease as per the financial and economic condition of the country. Investing immediately minimizes the future risk of the market, minimises regret (in case market falls down in the future), and prevents procrastination. The market can increase or decrease in the future.