In this episode, Scott Becker answers a listener’s question about whether to sell stocks during a market dip.
Chapter 1: Who is Scott Becker and what question is he addressing?
Chapter 2: Should I sell my stocks during a market dip?
This is Scott Becker with the Becker Private Equity and Business Podcast. Today's question is a question I received from a listener yesterday. brilliant person, nervous about their investments. And the question was, should I sell some of my stocks? And here's the answer. We talked about what we talked about. The simple answer is no, particularly if your horizon is long-term.
Chapter 3: What is Scott Becker's advice on holding through market dips?
Chapter 4: How should I develop a core investment strategy and balance my portfolio?
You got to hold through these dips because usually they're dips. I'm not saying buy the dip, but hold through these dips. Then you have to sort of develop over time a core investment strategy and philosophy. My cores are an allocation that I can live with, which is heavily weighted towards treasuries versus equities. So I've got good, good balance.
Chapter 5: Why is having an emergency fund important for investors?
Chapter 6: What are the benefits of investing in index funds versus individual stocks?
So when things go down, they don't go down that much. You also got to have an emergency fund, so you're not tempted to panic sell. And then the third thing is, the other sort of core priority or pillar of my investment strategy is, I am largely in index funds versus individual stocks.
Whenever I think I've got it down and can pick an individual stock, something happens to absolutely hammer my individual stock picks, and I go back to the notion of I shouldn't be in individual stocks. Again, those are the three thoughts. Don't sell on the panic, but do make sure over time you've got an allocation you can live with through good and bad times. Also, have an emergency fund.
And for me personally, it's don't bet on the high flyers. God bless you if you do. You're going to get them anyways through your index funds. But me, I'm a core investor in index funds versus individual stocks. Those are my three thoughts today on the stock market. And should you sell into the panic? I think not. Thank you so much for listening to the Becker Private Equity and Business Podcast.
Thank you very, very much.