![]() Market crashes are frequently the result of events like the emergence of Covid-19 or the news that the Federal Reserve will change its monetary policy strategy. And by the end of the year? They had missed out on 65% gains from the bottom of the crash. They were already regretting their moves by summer 2020, when the early Covid market losses had been erased by the lightning-fast pandemic rally. Take those who jumped ship in spring 2020, when the S&P 500 fell over 30% in a very short period. People who panic sell during a crisis often regret their choice. When you built your portfolio, after all, you might have had a market crash just like this one in mind. If you believe in your investing strategy and your current portfolio assets, don’t change your plans unless you have a good reason. So what should you do when there’s a crash? Make the best of it-here’s how. Market crashes are inevitable and they really hurt. ![]() ![]() ![]() Just look at the market this month and you’ll know what I mean-or think back to early 2020 when the Covid-19 pandemic began. That’s cold comfort when your portfolio has lost 20% or even 30% of its value in a stock market crash. In other words, the value of your investments doesn’t really matter until the day you need to cash out, so don’t worry about the ups and downs in the interim. There’s an old saying on Wall Street: If you don’t sell it, you haven’t lost it.
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