How to deal with Stock Market ups & downs
Today’s special column by New York Times personal finance journalist Ron Lieber provides some helpful and comforting advice for how best to deal with the recent stock market gyrations. You may want to read it if you are currently feeling anxiety about the “stock market roller coaster.” Check out a teaser of the piece below, and read the entire article at the New York Times.
We’ve been here before. Stocks can fall fast and bounce back hard, even if they haven’t moved all that much or that quickly in recent years.
But perhaps you haven’t been here before. Maybe you just started investing in an individual retirement account or 401(k) at your first full-time job. Or perhaps you feared the stock market all through your 20s and 30s but finally got up the nerve to wade in 18 months ago.
And now, after watching the Standard & Poor’s 500-stock index fall by several percentage points since Thursday and bounce some of the way back on Tuesday, you have a different kind of fear: that all the stock market riches have been won already or that your emotions will get the best of you amid all of the volatility. It’s tempting to sell what you have as quickly as possible to make that feeling go away.
But before you do, take a deep breath and ask yourself these six questions…