By: Jon Dulin
In reply to <a href="https://compoundingpennies.com/survive-stock-market-correction/#comment-22333">Eugene@ ShareInvestorMalaysia</a>.
You make a good point - being diversified is the key to limiting any losses you may see when the stock market corrects.
By: Eugene@ ShareInvestorMalaysia
I thought the number one little nugget is NOT to have all your money tied up in stocks. Those that didn't weren't hit as hard. In other words, have your money in hard cold cash, hard investments, and bonds so if stocks correct significantly it doesn't guarantee you're in deep shit. Just my 2 cents. Good thought provoking article. Keep it up!
By: DivHut
Good points throughout the article. One of my favorite things you mention is to create an "opportunity fund." Great name by the way. Too often, dividend investors especially, have little or no cash on the sidelines. They see it as lost income opportunity from a potential dividend rather than as cash waiting for a better buying opportunity. I think it's important to never be fully invested in anything as changes and fluctuations always present newer better opportunities. Thanks for sharing.
By: Thias
Completely agree about turning off the TV. When I first started investing (spring of 2011 right before the US credit downgrade) I listened to CNBC all the time thinking I was getting good advice. I mean someone was paying them to be on TV so they must know something, right? And then the downgrade happened, everyone freaked out and I sold everything I had at large losses because I wanted to weight the market out until it got better. And I was punished for it, as all of my holdings had gone up pretty significantly a short-time later. All because I was naive, listened to financial TV, and not focused on the long-term.