15 Reasons to Invest $1,000 in the Stock Market Right Now

"You make most of your money in a bear market, you just don't realize it at the time." This quote from Shelby Cullom Davis, a well-known investor and philanthropist of the 20th century, is no less true in today's environment than it was in markets of the past.

Long-term investors who buy great companies and stay invested in them for many years have a distinct advantage over other investors who try to otherwise time or buy on the dips or peaks of the market.

Why is this? Well, most gains in an investor's portfolio occur from a few particularly great days in the market that take place throughout the year.

Of course, trying to figure out when and where those days will occur requires something akin to a crystal ball. On the flip side, if you buy stocks on a regular basis -- companies with strong competitive and business tailwinds, solid balance sheets, and great leadership -- and stay invested in them in both up and down markets, you'll deal with the down days, but you'll also gain the benefit of all of the up days.

If you have $1,000 to invest right now, here's why you shouldn't hesitate to put it to work in today's stock market.

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To reiterate, the biggest jumps in the market usually happen on a few days of the year. If you wait to buy shares of great companies right now because of ongoing volatility, you may not only miss out on the ability to seize upon some serious bargains and end up paying a premium later, but you could also miss out on those winning days in the market altogether.

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While there's certainly no shortage of predictions about what the market will or won't do next, no one can say with exact certainty when the bottom of a correction or otherwise turbulent period will be. In the process of waiting and trying to find that perfect dip before you buy in, you could forfeit some worthwhile opportunities in the market. Why is this? For one, the market can always fall further.

At the same time, just when the market has had its worst streak in a while, it can just as easily rebound. Giving into fear or panic can easily lead to inaction in the markets, which can not only impact your ability to achieve your financial goals but significantly impede your portfolio growth over the long term.

Who doesn't like a sale? There's no debating there's a temporary pain that an investor experiences when you see valuations of stocks you own sink, such as in the current market. However, assuming those movements aren't tied to underlying business problems, a period of ongoing volatility can also make your investing capital go further when stock prices are down and give you the opportunity to buy otherwise great stocks at more favorable prices.

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Diversification and balance are key to the health of a long-term investor's portfolio. With stock prices broadly trading down right now, just $1,000 in the current market spread across several sectors and stocks can easily allow you to invest in companies you love without overconcentrating in a particular business or industry.

While being a successful investor requires ongoing learning and for you to keep up with the stocks that you own, your strategy doesn't have to be complex or convoluted. Investing consistently, whether that be twice a month, every week, or every month -- no matter what the market is doing -- will enable you to capitalize on the best days in the market without any guesswork or trying to implement what are all too often faulty timing strategies.

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Presented by Motley Fool Stock Advisor
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by The Motley Fool. I’d be sitting on a gold mine!" It's true, but we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Click here to learn how you can grab a copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

Income stocks are a great way to increase your portfolio returns in all markets. If you're going to invest in dividend stocks, look for businesses with an established track record of not only raising but paying out those dividends in both up and down markets.

ALSO READ: 10 Best Dividend Stocks to Buy Now in July

If you have money to put to work in the stock market, of course you want to put it toward companies with strong trajectories for growth and compelling leadership. At the same time, be sure that as you're investing your hard-earned money, you're putting it into businesses that you understand and know inside and out, that you've researched thoroughly, and that speak to your personal investing thesis and goals.

Many investors fear another crash could be near. There's no denying that this is possible, but it's equally possible that the market may avoid one for now. Here's one fact that the market has proven to be true time and time again: Whether days, weeks, or months later, the market has always recovered after a correction or crash. Not only has it recovered, but historically, the market has rebounded stronger than before.

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Whatever your personal financial goals are, whether to save for a house, build a stronger financial future, save for retirement, or all of the above -- near-term market volatility shouldn't derail them.

Share price isn't something to ignore entirely (after all, stock appreciation accounts for the lion's share of individual retail investors' portfolio gains), but this factor alone shouldn't impact your buying or selling thesis for a stock.

When evaluating companies that you already own or stocks that you are considering for your portfolio, examine whether the share price movements are tethered to a tangible business concern or are simply following the current direction of the overall market.

If share price alone is the only factor at play, rather than a palpable long-term headwind, think long and hard before selling that stock or skipping out on investing in a stock you would otherwise buy.

5 Stocks Under $49
Presented by Motley Fool Stock Advisor
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by The Motley Fool. I’d be sitting on a gold mine!" It's true, but we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Click here to learn how you can grab a copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

The simple truth is that no investor picks the perfect stock every single time. You may invest in a business that checks all the right boxes, only for management to make an announcement or the company to take a turn in a way that shareholders never saw coming. The thing is, when you invest in anywhere from 25 to 30 great stocks, and hold onto them for at least three to five years (at minimum), those winners will balance out the losses you may otherwise experience from the "losers" in your portfolio.

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No matter your investing style or level of investing experience, dollar-cost averaging is a tried-and-true approach that works in both up and down markets. In other words, investing a specific amount of money in stocks consistently, irrespective of what the market is doing at that point in time, gives you an edge over the speculators or investors who otherwise try to time the market, and it enables you to benefit from the best market days.

Whether you prefer growth stocks, value stocks, or a combination of many different kinds of companies, it's a great time to invest your money in the way that works for you while so many stocks are trading at cheaper-than-usual valuations.

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The price of staying invested in the stock market through its ups and downs is that you will have to ride out these periods of volatility, hard as they are. The benefit, of course, is that you will also enjoy the upside of the rebounds of the market and the growth trajectories of the businesses that you own without trying to guess when and where the best moment is to buy in.

You shouldn't be investing money you think you'll need in the next few years, and certainly not cash that would be better put toward your emergency fund or paying down liabilities like high-interest debt. As a general rule, you also shouldn't be selling stocks just because share prices are down, without a specific change in the underlying business.

Bearing those caveats in mind, compared with other types of assets, stocks are one of the easiest to turn into cash if need be when the time comes.

5 Stocks Under $49
Presented by Motley Fool Stock Advisor
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by The Motley Fool. I’d be sitting on a gold mine!" It's true, but we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Click here to learn how you can grab a copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

It's been a difficult time for many investors lately. A host of factors are playing into the current market environment, and these aren't catalysts that will resolve overnight.

And if there's been a core change to a business or businesses you own that's driving shares down, it may be wise to evaluate the current balance of your portfolio and see if that cash might be better used elsewhere.

That being said, the mark of a great investor is the ability to not only invest in truly great companies when the market is up but cultivate a mindset that propels you to stay invested and keep investing (if you have the cash on hand) during those inevitable down periods.

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