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Anonymous

13 Sep 2020

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General Investing

What happen to long term investor during market crash?

New in investing..if you buy and hold, be it stock or etf, what happen during market crash in general? Does it mean just hold position and wait for the market to recover, is it okay to just do nothing? The most is you lose money invested so far right? And if the stock becomes worthless, usually what happen next? Do investors still continue to buy more during a crash?

Discussion (12)

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If you are low on cash, hold.

If you have spare cash, buy the dip and average down. (only if you still believe in the long term of the company)

The simple answer is that we do nothing. We can ask ourselves what caused the market crash, and if it greatly affects the companies we're holding. If not, these 'crashes' or 'corrections' happen from time to time. Great companies will continue to do well in the long-run.

First of all, we buy what we believe in, since we're holding for the long-term.

A market crash sign...

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