This can lead investors to make rash decisions and sell their assets when the stock market has a bad week, month, or year, potentially losing money on their initial investment and missing out on the opportunity to buy stocks when they are essentially at a discount.
You’ll also want to tread carefully when looking at your investments following a big drop in the market. This can lead investors to make rash decisions and sell their assets when the stock market has a bad week, month, or year, potentially losing money on their initial investment and missing out on the opportunity to buy stocks when they are essentially at a discount.