Markets at the highest levels ever, what to do

The Indian market has climbed quite fast and it is at the highest levels ever.

There are a lot of people who are waiting for the markets to drop further to be able to invest but the markets don't seem to be giving them a chance to do that.( including me)

The drop in market comes only for a day and then it climbs back up.

The PE is much higher than the average PE of the market ( 20%) but it doesn't seem to be wanting to slow down .

The mutual fund industry is almost getting 4500crs Rs every month which is helping prop up the market .

So what should we be doing as of now? The answer is not very simple and can lead to frustrations either way , let me explain

1, if we wait for the market to fall , we may need to wait for quite long since there are people saying that the market will hit 10500 nifty by the end of the year! While we wait we will continue to keep money in cash and it will be detrimental to overall returns

2. If we invest in stocks .. then the market falls... It's going to be an ouch movement.. like the fall of over 20% of some of the psu bank stocks .

So the answer is not very easy right ? Not simple eh?

So here is my understanding especially if you are  investing in mutual funds , then the answer is much more easier

If you look at the mutual funds they have very significant amounts in cash or cash equivalents as of today .. almost 14-19% of their overall AUM . We pay the MF managers to do exactly that.. to move to cash and help us get away from the timing the Markets.

It's best to continue investing in the SIP and let the MF manager do the thinking for us..

Now that's simplefinancialsense!