Image Credit: Alex Nabaum
By Jason Zweig | April 3, 2020 10:00 am ET
Investors can survive a bear market the same way hikers survive an encounter with a bear: Remain calm and don’t make sudden moves.
With some modifications, the National Park Service’s advisory on how to behave if you come across a bear in the wildÂ is a surprisingly useful guide for investors as well.
“Make yourselves look as large as possible,” advises the park service. Do that in a bear market by remembering that we all hold an implicit position in bonds, making our portfolios much bigger than we normally realize — and our exposure to stocks proportionately smaller than we usually believe.…
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For further reading:
Benjamin Graham, The Intelligent Investor
Jason Zweig,The Devil’s Financial Dictionary
Jason Zweig, Your Money and Your Brain
Jason Zweig, The Little Book of Safe Money
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