Advice for investors: What to do Now?

Discussion in 'Politics & Religion' started by topguntrader, Jul 21, 2002.

  1. While you guys are looking at your beaten up 401k this weekend, you may be asking yourself what should I do now???

    I did an exercise that helped me out....Here it is.

    Add up the sum total of all your assets in stocks and stock mutual funds.

    Then divide that by 50% and ask yourself if you can stomach another 50% decline in the value of your stock portfolio... Is this going to significantly reduce your quality of life?? If you are gainfully employed and have a longterm time horizon then it should not and you should stay the course...

    If you just can't deal with another 50% decline then bail.
  2. I'm doing you one better: I'm going to get in my Wayback Machine and sell everything in Feb 2000. :D