Comments on: Controlling Your Fear of the Market http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/ A personal finance blog dedicated to discussing such topics as budgeting, asset allocation, 401K, IRA, cash flow, insurance, financial planning, portfolio management, and other areas in personal finance. Fri, 20 Nov 2009 19:56:44 -0800 http://wordpress.org/?v=abc hourly 1 By: Weekend Roundup: Hamburgers, Investing, and Windfalls ∞ Get Rich Slowly http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-140457 Weekend Roundup: Hamburgers, Investing, and Windfalls ∞ Get Rich Slowly Sat, 15 Sep 2007 15:44:44 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-140457 [...] At All Financial Matters, JLP talks about controlling your fear of the market. “Quit watching CNBC! Don’t check your 401(k) balance!” [...] [...] At All Financial Matters, JLP talks about controlling your fear of the market. “Quit watching CNBC! Don’t check your 401(k) balance!” [...]

]]> By: Free Money Finance http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-140035 Free Money Finance Fri, 14 Sep 2007 10:19:44 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-140035 <strong>Star Money Articles for the Week of September 10</strong> Here are some recent interesting posts from the MoneyBlogNetwork and beyond: No Credit Needed is on day 13 of 33 detailing how to save money and get out of debt. Get Rich Slowly details the shockwaves of a lifestyle change. Star Money Articles for the Week of September 10

Here are some recent interesting posts from the MoneyBlogNetwork and beyond: No Credit Needed is on day 13 of 33 detailing how to save money and get out of debt. Get Rich Slowly details the shockwaves of a lifestyle change.

]]> By: Food For Thought - Articles From My Blgoroll About Credit Card Limits, Time Management, And 401K Mistakes http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139721 Food For Thought - Articles From My Blgoroll About Credit Card Limits, Time Management, And 401K Mistakes Thu, 13 Sep 2007 14:27:43 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139721 [...] AllFinancialMatters has an interesting post about controlling your fears when investing in the stock market. I’ll admit, I’m new to investing and I’ve been bummed out watching my investments go up and down in value. But, I’m in it for the long haul. [...] [...] AllFinancialMatters has an interesting post about controlling your fears when investing in the stock market. I’ll admit, I’m new to investing and I’ve been bummed out watching my investments go up and down in value. But, I’m in it for the long haul. [...]

]]> By: Customers Revenge http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139381 Customers Revenge Wed, 12 Sep 2007 13:25:37 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139381 Fear is automatically gone if you can take the worst that will happen. It's that way for everyone. That why we're not afraid of walking on the sidewalk at ground level, but most people would be petrified of walking on a open walkway 10 stories up. For investing, take only up to the amount of risk you can handle, worst case. While doing that, optimize to capture as much upside as possible. Most of the common savers limit their risk as much as possible, but limit their upside too. That specific advice about leverage is no good ... leverage is a perfect way to hit your risk sweet spot. Most of us are heavily leveraged anyway if we have car loans or mortgages, so why not leverage ourselves for profit instead? Fear is automatically gone if you can take the worst that will happen. It’s that way for everyone. That why we’re not afraid of walking on the sidewalk at ground level, but most people would be petrified of walking on a open walkway 10 stories up.

For investing, take only up to the amount of risk you can handle, worst case. While doing that, optimize to capture as much upside as possible. Most of the common savers limit their risk as much as possible, but limit their upside too.

That specific advice about leverage is no good … leverage is a perfect way to hit your risk sweet spot. Most of us are heavily leveraged anyway if we have car loans or mortgages, so why not leverage ourselves for profit instead?

]]> By: The Dividend Guy http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139379 The Dividend Guy Wed, 12 Sep 2007 13:20:51 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139379 Your suggestion #1 is super important - newspapers and TV loves markets like this because people get sucked it to watching because they beleive they are going to hear what to do (IMHO). This just creates more uneasiness and uncertainly. Stick to your original plan and ride it out. Your suggestion #1 is super important – newspapers and TV loves markets like this because people get sucked it to watching because they beleive they are going to hear what to do (IMHO). This just creates more uneasiness and uncertainly. Stick to your original plan and ride it out.

]]> By: Aaron http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139262 Aaron Wed, 12 Sep 2007 04:11:13 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139262 I think retail investors really get in trouble when they chart the growth or loss of their stocks too often. When someone checks their accounts constantly, when they see the loss they are far more likely to panic than someone who checks every once in a while. I think retail investors really get in trouble when they chart the growth or loss of their stocks too often. When someone checks their accounts constantly, when they see the loss they are far more likely to panic than someone who checks every once in a while.

]]> By: Jefferson Otwell http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139145 Jefferson Otwell Tue, 11 Sep 2007 20:27:56 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139145 This is an excellent post on an important topic. It bugs the heck out of me when my friends and clients keep calling me all afraid of the news. My favorite suggestions were also Dr Steenbarger's #1 and YOUR #1. There seems something almost pornographic about CNBC -- it seems like they play to one's basest desires. This is an excellent post on an important topic. It bugs the heck out of me when my friends and clients keep calling me all afraid of the news.

My favorite suggestions were also Dr Steenbarger’s #1 and YOUR #1. There seems something almost pornographic about CNBC — it seems like they play to one’s basest desires.

]]> By: Brian http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/comment-page-1/#comment-139129 Brian Tue, 11 Sep 2007 19:10:44 +0000 http://allfinancialmatters.com/2007/09/11/controlling-your-fear-of-the-market/#comment-139129 I fully agree with Dr. Steenbarger's #1 and Dr. Lo's #2. Investors should decide up front what their risk tolerance is, sit back, and watch the market swing up and down. They can do this from the comfort of their easy chair with a martini in their hand. I fully agree with Dr. Steenbarger’s #1 and Dr. Lo’s #2. Investors should decide up front what their risk tolerance is, sit back, and watch the market swing up and down. They can do this from the comfort of their easy chair with a martini in their hand.

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