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It’s rough out there but peeking at your balances does little to alleviate angst over the market meltdown. A recent Barron’s article reminded me that “it’s all paper losses anyway, unless you sell. if you do that, you lock in your losses, and then you have to worry about getting back in. Typically, by the time Investors feel comfortable returning to the market, stocks will have already appreciated and investors will have missed.out on the recovery.”
Many are looking to this week to provide a clearer picture as to the markets direction. This is not my first rodeo so I have a good idea of my strength of resolve to stay the course. I just hope the ride isn’t too bumpy. The first time I faced a serious downturn in the market I was younger. I regretfully sold. Stay the course can be less comforting to new retirees who stand to risk the most in a market rout.
Older, wiser and situated better, financially, I’m hoping all my favorite names will be on sale.
All paper losses yup, and mine will stay that way, but it’s still mighty frustrating to see something you like to think you had in hand evaporate in a few weeks. When one day’s red figure is $110,000 it’s not a good feeling. And then I think about why.
There’s always money in the Mercedes 🙂
Not always. My old one was worth only $3,500.
Dick, I’m not minimizing the discomfort of a declining balance, especially if you need the money any time soon. you can keep a years worth of expenses in cash, if possible, to prevent having to withdraw from retirement accounts in a down market.
Jonathan recommends spending less—start with small expenditures—like Cutting down on chocolate covered cherries. 🍒 😊
VERY diplomatic last sentence Dick.