How To Stay Sanitized In Virus Affected Stock Market?

Discussion in 'Stock Market Forum' started by Advisorymandi, Apr 2, 2020.

  1. Advisorymandi

    Advisorymandi Member

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    Investors have caught off-guard several times in the sheer fluctuation of the stock market due to Coronavirus pandemic over the past few weeks. It is the time even when the savviest investors are playing ‘dead’ and avoid taking any hasty decision to benefit from market fluctuation. It is not your ordinary bear market but the times of economic slowdown which has a contusing effect on the Indian stock market.

    First, investors are triggered due to Novel Coronavirus outbreak, second no one knows how deep the recession will be? – Instead of triggered panic selling, investors must assess the situation calmly and avoid any hasty decision of making a profit. It is not the time to make profits out of the investments but to preserve what already invested by diversifying investments across other investment asset classes and reassess the risk tolerance and investment goals to proceed cautiously.

    If possible, look out of defensive stocks that tend to perform even in adverse situations. Investing in such stocks can benefit from making huge profits when the market starts to recover. The profits will be way more since the shares are available at much discounted prices.

    It is time to sanitized yourself and your investment portfolio from the virus infected stock market
     
  2. Buyonthedips

    Buyonthedips Senior Investor

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    I would normally have said banks and gold but they are not performing as you might have expected. What about the dollar? That seems to be a safe haven just now?
     
  3. gowiththeflow

    gowiththeflow Senior Investor

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    I really dont think there is any safe haven in the current environment. Cash is, has been and always will be King in these situations. You dont need to be even partially invested - you can cash up in these tough situations and wait for a degree of balance to return to markets. Can you imagine what another wave of Covid-19 would do to the world?
     

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