Last year we experienced more stock market volatility than we’ve seen in over a decade.
Unfortunately, volatile markets often bring out the worst in investors. This is when they make mistakes. And these mistakes often come with big price tags
Thats why we came up with 5 common sense investing rules that could help you avoid making a costly mistake…
- The stock market doesn’t always go up. There will be bull markets and there will be bear markets. Thats the way it’s always been and thats the way it’ll always be. A long-term mindset will help you overcome the market downturns.
- Trying to time the market is a fools errand. Sometimes the market behaves in ways that even the most sophisticated investors never see coming. Don’t attempt to time the market.
- Making emotionally knee-jerk decisions is a recipe for disaster. Don’t panic sell at the first sign of a correction. your losses aren’t locked in until you sell. If you’re invested in the right companies, your investment(s) will likely rebound.
- A market correction could be a buying opportunity. When the stock market falls, think of stocks as being on sale. And follow Warren Buffets advice: “Be fearful when others are greedy and be greedy when others are fearful.”
- Your portfolio should mirror your risk tolerance. The closer you are to retirement, the less risk you want to take. Consistently update and rebalance your investments every 6 to 12 months to ensure your portfolio mirrors tour appetite for risk.
We are here to help guide you on your confident retirement journey.
Give our office a call to see where we might be able to help!