2 Reasons to Fear the Stock Market, and 3 Reasons Not to
Investing is scary. It requires you to put your hard-earned money at risk, without much control over what might happen. And yet, millions of Americans who are not professional investors hold securities in 401(k)s, IRAs, and brokerage accounts. For those folks, the rewards outweigh the risks.
That's not to say these investors ignore those risks. Ignoring the risks of investing sets you up for disappointment. On the other hand, cultivating a healthy respect for investing risk usually makes you a better investor. You'll actively manage your risk and, hopefully, be more prepared when the market hits a rough patch.
Ready to check your own level of respect for investing risk? Here are two reasons to fear the stock market, and three reasons not to.
Source Fool.com