The Associated Press

What's a strategy for investing now? Many advisers are saying it is time to put aside the fear and reinvest some of that sidelined cash. Consider the fact that from its bottom on June 9, the S&P 500 is now priced 48% higher — hovering around 990 on Friday. While that opportunity has passed, but no worries, some market watchers are predicting the index will only continue to climb as the economy continues to strengthen.

It may be time to quit being so afraid, but you can take steps to maintain your comfort level.

1. Don't overdo it. Don't relive the anxiety or regret of last year's market tumble. If nothing else, it's likely made you re-assess how much risk you can handle. Mickey Cargile, managing partner at Midland-Texas-based WNB Private Client Group suggests reflecting on that feeling you had when the market hit bottoms. "I think most people would say they had more risk in their portfolio than they wanted," he said. Don't do that again, but you need to take some risk associated with stocks to regain some lost ground.

2. Ease back in. Recognize that it will be a bumpy road ahead as investors react to short-term trends. In developing an investment strategy, you may want to use dollar cost averaging. If you have a sum you want to invest, put about a third in now and invest the remaining two-thirds strategically during the next six months, says Tom Hepner, an investment adviser with Ruggie Wealth Management in Tavares, Fla. "In uncertain times, dollar cost averaging is a good idea because it spreads risks and helps smooth out the bumps a market might take as it expands."

3. Have a plan. View the market with an eye for tactical investing, which translates to finding good opportunities to buy solid performers at a good price. While some advisers would recommend an index fund, others say you don't want to own the broad market, you want to be selective. That means identifying through research companies that are leaders in their business, have earnings potential and quality products. Recently, many investors looked for badly beaten up companies that were presenting new opportunties for growth. Now, you want to find companies that will see dramatic sustained growth from a recovering economy. That may mean exporters who are getting into developing countries with emerging consumer markets.

4. Seek advice. This is a time when a good adviser, picking the right companies and getting in during temporary market setbacks, can make a big difference. For example, Morningstar Inc. recommends looking at Stryker Corp., maker of orthopedic and medical equipment, and drug manufacturer Novartis AG. These are highly rated companies with low uncertainty, fair values and long-term earnings potential. Other recommendations include Microsoft Corp., Johnson & Johnson, 3M Co. and ExxonMobile Corp. The bottom line is, an adviser with screening tools can help you identify the best approach for you to get in at the right time.

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