This Too Shall Pass

There are uncertain times going on wrt to the Corona Virus and markets are reacting to every negative news and positives are discounted. Last week markets corrected by 10% + the speed and volatility are one of the highest we have seen.

My close group of investors friends has a trader friend, will not call him a investor. He is connected with lot of HNIs and brings good information. He is asking me to sell everything as he has confirm news that DOW will reach 20-22k levels.

This time around I am going to stick with my investment process and not get swayed with the news coming. I am ready to take the short term hits on my portfolio.

I believe in few weeks or months this will too shall pass. There would emerge a clarity. I believe in my investments and I will stay put.

I will not deny the fact that it is gut wrenching given that the invested amount is most I had so far in my investment career.

This uncertainty has 1 lesson for me and that is asset allocation.

Current Allocation is 85% Equities and 15% Debt. Could have been better.

It is not an issue now as I have a monthly income from Job but once I am financially free and no paycheck to fall back on need to work on asset allocation and cashflows to tide over such long period of uncertainties in future.

 

Writing after long time to Journal this thoughts for future reference, hope my readers are also maintaining Journals. We are learning priceless lessons and we should mold our self to sustain such episodes in future.

 

 

 

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