You can't look at the news without seeing doom and gloom predicted. It's scary, but what do you do?
I'm Bradford Ferguson. I help successful professionals manage and save money for retirement. Far too many people let emotions manage their money.
What you have to do is take a long-term steady approach with the money. So how is it that you deal with the ups and downs? How do you deal with the doom and gloomers that they're really good arguments on why you should, for example, get out of the stock market and go to cash?
So the first is that you gotta remember that market fluctuations are normal. In 2017, the market went straight up like this, and that was very abnormal. That market is not a straight line. It's actually a natural system, and it's kinda like a tree branch where a tree branch does this. And fluctuations are normal, and we have to remember that. It's just like a natural system. There's wildfires.
And then the next thing is that you have to remember that it's only a loss in your account if you realize the loss. So realizing the loss is selling the investment. So Warren Buffett back in '87 when he didn't have quite as much money, he lost over 300 million on Black Monday in '87. But he didn't sell, so he never lost that money. And the market came back at that time in three months. He never lost the money, and that's the way he looked at it.
The other thing to remember is that even if there are down years, history has shown that the market has always come back. We don't know if it always will, but I don't think the world's gonna end even though the news tells us that every night regardless of what's happening. It's not ending. So don't let your emotions control your money.
And if you know someone who tends to panic in the face of change, go ahead and tag them in this video or share this with them because I don't wanna see people panic. It costs them money financially.
They tend to get back in the higher price, or they never get back into the stock market. I've talked to people who sold out in 2008 at the low of the market and never got back in and lost hundreds of thousands of dollars and they're still scared. We wanna prevent that from happening.
So anyhow, share this with them. Anyways, I'm Bradford Ferguson. It's been good talking with you.