Buffett to Investors: Man up and buy.
As Aaron Rodgers said earlier in the year, regarding a losing streak- Relax.
As investors, a recent decline in the market can be un-nerving. However, it’s a great time for investors.
Have you ever gone to a store to buy an item that is on sale? Do you look in Valu-packs or Money Saver magazines looking for sale, or discounted items?
Well, how about looking at your investment statement for “buying” opportunities that are on “sale” or “discounted”- right now!?
Warren Buffett, legendary investor, just said “Man up and buy!”
If our Investor Coaching Events teach one thing- it’s to be buying on the dips (rebalancing). Investors make money in down markets by buying more shares, so when the price goes up, your portfolio goes up faster.
What the market did last week, this month, next quarter…it doesn’t matter. You’re looking to invest for a lifetime. You’re investing to make money. Well, now is the time to make money- by buying stocks at a discount!
We’ve gone through this before. Remember 2000-2002? 2008? Your portfolio isn’t fully invested in the market (most investors have 50% in bonds), so your risk is not as great as the overall market. January is off to a bumpy start. It’s quite possible that in a couple months, we won’t even remember this bump.
The greatest hockey player, Wayne Gretzsky, had the best strategy- “Skate to where the puck is going, not to where it is.”
Your job as an investor- Relax. Take it from Aaron Rodgers, he made the playoffs.
Follow the rules of Investing:
- Own equities (stocks)
- Diversify Globally
- Rebalance quarterly (our way of buying the “dips”)
Repeat over and over.
Above all, remain disciplined! That’s how you will make the playoffs.