When there is news that would make the stock market goes down, it’s tempting to ask yourself or me, “Should I pull my money out of the stock market?”
Gets naman kita, but most likely not the best course of action. Instead, you should perhaps be asking, “What should I not do?
The answer is simple: DONUT PANIC, eat a donut. Panic selling is often people’s gut reaction when stocks are plunging and there’s a drastic drop in the value of their portfolios.
Knowing your risk tolerance beforehand will help you choose investments that are suitable for you and prevent you from panicking during a market downturn.
Here's what you need to do:
Knowing your investor profile beforehand will help you choose investments that are suitable for you and prevent you from panicking during a market downturn. That’s why it’s important to know beforehand your investor profile (check yours here... )
https://youtu.be/hjStK9BZxww?t=3308
Diversifying a portfolio among a variety of asset classes can mitigate risk during market crashes
So in sum: stick to DCA every Friday sa VOO, SCHD, VTV