Six Things to Know to Weather a Market Downturn
06/10/2022 It can be unsettling for investors when their portfolios and the markets start heading into the red. Here are six investing basics to keep in mind during volatile times. PERIODS OF VOLATILITY ARE NORMAL All markets move in cycles, and periods of steep contraction are completely normal. While the length of market contractions varies, periods of growth and expansion are usually waiting on the other side. The markets have proven remarkably resilient over the long term, and while returns can be quite volatile year-to-year, they’re generally positive over multi-year periods. DON’T PANIC Letting emotions dictate your investing strategy is a risk you shouldn’t take. Short-term decisions can have long-term consequences on your portfolio. Being patient can pay dividends. KNOW YOUR PORTFOLIO Understand your investments and how specific assets represent different goals and outcomes. Keep in mind your risk …