[EpochTimesMay192022](The Epoch Times reporter Li Yan comprehensive report) Although financial markets tried to rebound on Tuesday (May 17), they were largely in the midst of a prolonged sell-off, which make someinvestThe big brands that people are optimistic about are hit.
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Dow JonesThe industrial average plunged for seven straight weeks, the longest since 2001, while the S&P 500 lost six straight weeks, the longest since June 2011.
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Many are saving for retirementinvestReaders may be wondering what to do in such a volatile market, but WarrenBuffett(Warren Buffett) says the answer is simple: try not to worry too much.
“I would tell (investors) not to keep an eye on the market.”BuffettHe told CNBC in 2016 when the market was wildly volatile.
Buying ‘good companies’ over time, says the world’s most successful and well-known stock market investorstockof investors will see results 10, 20 and 30 years from now.
“If they try to buy and sellstock, the result will not be very good. “Investing money is made by holding ‘good companies’ (stocks) for a long time,” he said. That’s what people should do with stocks. “
Like Buffett, the late legendary investor Jack Bogle recommended a buy-and-hold strategy. He previously told CNBC that buying and holding stocks is the best way to invest because “your emotions can totally blow you up” if you try to sell your holdings to avoid losses and reinvest after the fact.
“Go through it,” Bogle said in 2018. “Don’t let these changes in the market, even big ones (like the financial crisis) … change your mind, never, never, never (at the very moment) don’t get in or leave the market.”
Financial experts say trying to react to market trends is likely to backfire for most investors. The best thing to do is to watch the market go up and down.
Sean M. Pearson, a financial advisor at Ameriprise Financial, said investors selling when the market is down could actually derail their long-term plans.
“Markets don’t stop, they come alive,” he said. “When the news looks a little better, the market has recovered. If you miss the recovery, chances are you’ll have a harder time making your finances.” Target.”
Many experts, including Buffett, also advise investors to buy index funds. This type of foundation automatically diversifies, allowing investors to own every stock in the index. For example, the S&P 500 includes big-name U.S. companies such as Apple and Amazon.
Buffett advised in a 2017 interview on CNBC’s “On The Money” show: “Continue to buy low-cost S&P 500 low-cost index funds. I think it makes the most sense at all times. things.”
Kevin O’Leary, chairman of investment firm O’Shares ETFs, previously told the outlet that in times of high inflation, the most important thing for Americans to do when it comes to money is not to put a lot of money Put it in a savings account with a low interest rate.
“In the bank account right now, you’re getting (very little) interest,” O’Leary said, “and inflation is over 6 percent. So you’re actually losing money every 12 months.”
Responsible editor: Li Yuan#
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