Revisit Embrace Turbulent Times in The Stock Market and Life
Have you ever had a whirlwind of events all in one month? That is how January has been for me. To name a few highlights, the stock market on a roller coaster ride creating challenges and future opportunities. New personal development classes, 28 inches of snow in the biggest snow storm I have ever seen and handle, jury duty to begin at the end the month, and planning my new event that will begin soon for all of you “To More Wealth and Well-Being”.
Prioritizing and choosing what to do first could be a bit overwhelming if you allow it to be. However with patience, smart decisions, trusting your intuition one item at a time, you will be more relaxed and feel more peaceful in the moment. Focusing on using your toolbox that makes you strong, confident and that helps you feel good during some of the chaos that is going on is the start. When you feel good, relaxed, focused you can accomplish what you desire.
How have you started your 2016? My choice was lots of self care which included journaling, eating healthy, working out and doing the best I can, one item at a time. What a great time to increase my focus on well-being. Little did I know that the stock market would be in the midst of its worst start to a year historically? I thought it would be good to share some of my thoughts and a few investment tips of how to handle a turbulent stock market environment. At the time of this writing it’s too early to know how far down the stock market can or will fall, however it is very clear more violent up and down swings are likely over the next several months.
You can do some things now to be in a position where you are comfortable with your investment holdings and avoid unnecessary stress. Now is not a time to walk away and hide, its time to take an interest in what is happening, but be smart with your choices. Do you believe that listening to news reports is a reliable source for investment advice? Are you confident that your stock market investment strategies will do well in a turbulent stock market?
Many of us have questions that need to be answered when it comes to investing our money. Where to find the right answers can be tricky, especially since there are many places to find information and so many experts giving information. You would be smart to seek the advice of an investment professional that can access your individual situation and answer your specific questions one-on-one. If you are currently in the position of solely overseeing your own investments, it’s also wise to have an investment strategy in place that is flexible and that allows you the ability to exit quickly in order to reduce your exposure if the stock market is not performing well.
Ask yourself what is the review process that you currently have in place for your investment portfolio? Is this done by you or has your portfolio been reviewed by an expert to discuss your financial assets? You may have been holding your investments for a long time and they are not profitable. You can make a simple change that could increase your potential return. A portfolio review can help you find another investment to maximize your gains, lower your risk and help you achieve your investment goals. A good investment strategy starts with a clearly defined objective. You want a portfolio to suit your needs, objectives, and time frame depending on your goals and objectives.
Investment Tips During Turbulent Stock Market Times
- Watch your investments to make sure they are doing what you expect.
- Review your investment to see if any individual stock, exchange traded fund, or bond position exceeds 5% of your overall portfolio.
- Don’t be over weighted in a particular sector that is out of favor under selling pressure.
- Know in advance how much risk that you are willing to take. Prepare an investment plan with an exit strategy that suits your needs. Be ready before something unforeseen occurs.
- When making changes in your portfolio, keep your whole portfolio in mind.
- Individual stocks are volatile investments. You can make money fast or lose money quickly
. It’s best to pay attention and not be invested when the company reports earnings if you are not ready for big price swings that might occur. - If you are investing in individual bonds review the credit rating to know the credit quality. The higher the credit quality the less risk you have,
- Consistent gains with your investments are achieved by avoiding big losses. Don’t get into the mentality of not wanting to take a loss.
Take advantage of the opportunities in turbulent times. Keep an eye on your portfolio so that you will know what is or isn’t performing well. Be flexible, willing, and prepared to make a change. Create clear goals and objectives now for your success. Stay focused, choose one item at a time, instead of going to a place of overwhelm. Prioritize, relax, have the courage to follow your dreams and you will make it through the whirlwind to achieve your goals and desires. If you can dream it, you can do it. But if you don’t have a dream, how are you going to make it come true? Go for it. Dream and make it happen!
To your health, wealth & happiness,
Bonnie
Wealth and Well-Being Coach
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