Here’s how to navigate market turbulence without losing sleep

Image Source: AI Generated Image

Published: 05th July 2024

By: Value Research

Stock investing is a rollercoaster ride

Market ups and downs can be nerve-wracking. For example, two of the biggest wealth creators in Indian markets–Bajaj Finance and Trent–slumped at least 20 per cent several times in the last 10 years.

What giving in to panic may cost you

But weathering market moods, the two stocks compounded investor wealth by 30-40 times over the past decade. So, investors that might’ve exited them during market panic lost on big gains!

How to not lose out to fear

Smart investors know how to tide over market swings without letting nausea take over them. Swipe further to see how you can do it too:

Be a ‘lambi race ka ghoda’

Think long-term! Daily fluctuations don't reflect a business's true value and will get smoothened with time. It’s the fundamentals that the market rewards in the long run.

Don't try to time the market!

Predicting market dips and peaks is impossible. Healthy returns come from staying invested not from speculative moves. We have data to back this up.

Timing the market is irrelevant

How much would you’ve made on investing Rs 1 lakh in Sensex on the 1st trading day every year for the past decade versus investing this sum each year at the index’s lowest value? The answer is quite amusing. Read it from the link below.