Today on the Finance Flash Go! podcast, we are talking bear markets.
A bear market is when the value of the overall stock market drops 20% of more below it’s recent peak values. It is basically the opposite of a bull market.
But bear markets are not uncommon. You will go through them in your investment career.
What’s the most important thing to understand?
The key is to understand the correct philosophy of investing broadly for the long term, not the short term. You do NOT want to sell your stocks in a bear market because you are worried about further drops. This will insure that you are selling low and losing money.
You can help to avoid this by making sure you set your asset allocation to your proper risk tolerance.
10 Reasons a Hybrid Investing Approach is Best
How to Find the Perfect Balance Between FIRE & YOLO
5 Easy Steps for Physicians Who Hate Personal Finance
Finance Flash Go! Episode #45: Small Cap vs. Mid Cap vs. Large Cap Stocks
My Stock Portfolio Is Better Than Your Financial Advisor’s
Stress Free Stock Market Investing Is Easier Than It Seems!
Important Money Lessons That I Learned From My Wife
Finance Flash Go! Episode #44: Understanding Growth vs. Value Stocks
I really hope that you all enjoy the Finance Flash Go podcast! We plan to release a new episode every weekday answering important finance questions. If you ever want to submit a question to our podcast, send an e-mail to [email protected]
And please subscribe and give us a 5-star rating if you enjoy the podcast! It helps us continue our mission of helping all of us to achieve financial well-being!
Like the blog?! Don’t forget to join our Facebook group and sign up for our weekly newsletter using the form below (under the comments)!