Tip #12 - How NOT to handle a share market downturn
Every week we post a tip that we hope will help you become a successful share market investor.
Tip #12 — How NOT to handle a share market downturn
First, dither around for some considerable time trying to decide if the price falls are short-term and will quickly bounce back or the start of a serious price slide. Second, once it is clear that this is serious, sell up after most of the damage has been done and take a bath. Third, watch the market recover while you try to decide if this is a minor price spike or an ongoing recovery. Finally, once it is clear it is a sustained recovery and you have missed most of the gains, reinvest your remaining funds and wait for the next price fall.
This information is not a recommendation nor a statement of opinion. You should consult an independent financial adviser before making any decisions with respect to your shares in relation to the information that is presented in this article.
FURTHER READING
Evaluate your investment returns with the performance report
One of Sharesight’s most popular reports, the performance report gives you the full picture of your portfolio’s returns over any chosen period.
5 ways Sharesight helps Australian investors at tax time
Learn how Sharesight’s Australian tax features can not only help you complete your tax return, but also save you time and money at tax time.
How to present portfolio tax reports clients actually understand
Portfolio tax reports don't have to generate endless client questions. Here's how to structure them so clients can review, confirm and sign off.