Time in the Market

The concept of ‘time in the market’ is to embrace compounding investment returns over the long term. Whilst arguably not as exciting as ‘timing the market’, it is extremely powerful in its ability to grow wealth over time.

Many investors are familiar with common concepts such as ‘compounding returns’, ‘good things come to those who wait’, ‘delayed gratification’ and ‘patience is a virtue’. Practical, sensible and some may say, unexciting advice. A consistent theme we observe in our work advising clients is those who value these concepts are able to invest with confidence, maintain their investments in tough markets and enjoy the benefits of being an investor over the long term.

In 2020 Koda Capital Partner Mike Massey published a paper titled ‘The Upside of Time in the Market’. This is one of three papers in a trilogy series outlining the principles behind Koda’s investment philosophy: diversification, upside/downside capture and time in the market.

The full paper is available to download from Koda’s site at https://kodacapital.com/insights/the-upside-of-time-in-the-market/