There is an unreasonable amount of speculation in the markets again right now. There is uncertainty that is leading to buying and selling that is sending the markets sharply up and down daily. Traditional investors are guessing what the results of the recent debt crisis will have on their portfolios and they are gambling with their invested savings. There is no need to panic! When I am tempted to get anxious about the uncertain future I take comfort in the things that are certain. Follow along with me.
- Markets are random. They go up as randomly as they go down. Unpredictable over the long term.
- Volatility = Risk. The more volatile the markets, the more risk associated with investing.
- 3. The market rewards higher risk with higher returns over time. More long term risk results in higher long term rewards.
- 4. The current market volatility will provide better returns for my long term savings! I will be rewarded by staying disciplined!
This video shows how the current volatility is a repeat of the past! History teaches us to be disciplined and optimistic about the Free Martket!
This is only true for investors that believe in the Free Markets and invest accordingly! This is not true for actively traded mutual funds! You can benefit from the current events but not by chasing after hot stocks or self proclaimed market experts! There are three simple things that we do for our clients to get the maximum benefit from all that the free market gives to disciplined investors over time.
OWN STOCKS – DIVERSIFY – REBALANCE
Your Peace of Mind can go up as the market goes down! If you don’t enjoy Peace of Mind in volatile markets then make time to attend one of our educational events or call my office to schedule a short phone consult!