Winning Bizness Desk
Mumbai. This week the stock market saw a fall of 2943 points or 5.41%. This fall has created an atmosphere of fear among investors. However, according to experts, the right strategy can give you good money in this fall. We are telling you about 7 such things, with the help of which you can earn money in the fall of the market.
Stock basket will be right
The concept of stock basket is going on these days. Under this, you create a basket of shares and invest in all your shares. That is, if you want to invest a total of 25 thousand in these 5 shares, then you can invest 5-5 thousand rupees in all. This reduces the risk.
Do not sell shares at a loss
Fluctuations are the nature of the stock market. Investors should not panic about the fall in the stock market. Even if you have invested money in the stock market and you have made a loss in it, then you should avoid selling your shares at a loss. Because the market is expected to recover in the long term. In such a situation, if you hold your shares for a long time, then your chances of loss will be less.
Ignore the immediate fluctuations
The risk is increased as the portfolio changes dramatically. Such a habit can negatively impact long-term goals. It is better to ignore the immediate fluctuations in the market and maintain discipline. Make small changes if portfolio changes feel necessary.
Invest through SIP
The stock market has fallen a lot from its high levels, but still, if investors are looking to invest now, they should do it in installments instead of one lump sum. This slightly reduces the risk of volatility related to the stock market. With a little patience, you can make profit even in a falling market.
Don't make panic decisions
Always remember that the mood of the economy and the market is cyclical. Just as there is an uptrend, so can a downtrend. Obviously, panic selling in a downtrend would not be a good strategy. Good stocks often give better returns in the long run.
Diversify the portfolio
Diversifying your portfolio is a good way to keep your investment value stable in a volatile market. Diversification refers to the distribution of investments in different assets according to the risk appetite and goals. The advantage of this is that if one asset (such as equity) is declining, at the same time an uptrend in another asset (such as gold) will offset the loss.
Keep track of investments
When you invest in a variety of assets, you may not be tracking all investments regularly. In such a situation, it will be difficult to give accurate feedback on changing market trends. So if you are unable to track your investments, then take the help of a trusted financial advisor.