One of the most vivid memories from when I had my excruciating back and leg pain from a slipped disc was how long the days were. The pain was 24/7.
Same experience when our newborn son had colic like symptoms for his first three months. The crying was pretty much 24/7.
It’s hard making good decisions when in pain
When in pain like this, time goes extremely slow and there isn’t much you can do about it.
I see a lot of people experiencing pain with their investing at the moment. Really worried about portfolios that are down in value causing them sleepless nights.
But the key difference with investing is that the pain is escapable. You don’t have to live with the pain.
You have a choice, so don’t self inflict pain. Otherwise it is hard to live your life and you may make rash, sub optimal decisions.
Hopefully without sounding like a douche, I am not in the slight bit worried about market downturns.
Make an investment plan during periods of calm
I am confident in my investment plan. Money not needed for a long time is invested aggressively and money needed in the near to medium term is not invested aggressively at all. This allows me to step back and detach myself from the short term goings on of the market. I am sure I will the say the same if the market drops 50%. I am that confident that a diversified portfolio of assets will grow in value over the long term.
The key in that statement is long term. If you have allocated your assets in a similar way to mine, then you have time to ride out down markets.
So stop watching or reading the news if it is making you worry. Turn off notifications from your investment provider. Stop logging in to check your balance. Get out and live your life. Zoom out, have faith in the plan, and focus elsewhere.
If you are well diversified this is your time to shine and enjoy your life.
Money is wasted if it doesn’t allow you to get on with life.
Your money is doing its job if it allows you to live your life.
There have been many undiversified investors during the last few years boom period, gloating about their investments going to the moon. It is hard to watch other people getting rich while you stick to the slow and steady path to riches. But their lack of diversification is now causing them real stress and significant losses.
If you aren’t well diversified, or not invested according your ideal time horizon, take this as a lesson.
Downturns are extremely common. A well thought out investment plan will save you a lot of future stress, pain, panic, and will give you the best chance of growing your wealth.
If you need an investment plan or recommendations , then get in touch today.
The information contained on this site is the opinion of the individual author(s) based on their personal opinions, observation, research, and years of experience. The information offered by this website is general education only and is not meant to be taken as individualised financial advice, legal advice, tax advice, or any other kind of advice. You can read more of my disclaimer here