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Investing a large sum of money in share market - can anyone give advice?

I am in my late teens and after a couple years of work I have $50,000 (this to me is big money) banked that I would like to invest. However, I am not sure if investing all of the $50,000 is a good idea - Especially taking into account the recent market volatility. Therefore, should I look to invest all of it? or should I only invest a certain percentage of it?

Public Comments

1. The usual technique which reduces volatility the most is to split it into stocks and bonds. Since bonds can go up when shares go down. So one protects the other. The ratio is supposed to be 60/40 s/b With large blue chip stocks and AAA rated government bonds used only. Another suggestion as you notice the way the stockmarket is going, is to leave some as cash (1/3 or 1/2 your 50,000 whatever) since there will be some great bargains available if the stock market really takes a dive. Everyone will be bailing out on fire, and in the aftermath, 'cash' will be king. Big stocks going for give away prices in other words. And only those with cash able to buy them up. Always have some cash on hand is what the big investors say for many reasons, and what business and companies themselves do. Seems like a good philosophy to me :)