The Key to Investing as Stocks Plunge and Coronavirus Spreads
The standard advice when the stock market tanks is to remain calm. Don't panic. Don't frantically sell. If you can avoid it, don't even log into your investment account. Stocks tend to increase in value over the long run. Panic selling when stocks tumble and buying back in once they've recovered is a recipe for terrible performance.
That's good advice, but it's hard to follow. It's too easy to come up with justifications for making bad decisions. All the risks you factored into your original investment decisions become amplified in a crisis as new, unanticipated risks emerge. All you can think about is what can go wrong.
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Source Fool.com
