Comments on: An Example of How Reacting in Fear Can Hurt Portfolios

By: WELCOME GLOBE AND MAIL READERS!

WELCOME GLOBE AND MAIL READERS! — Wed, 26 May 2010 16:00:22 +0000

[...] How Reacting With Fear Hurts Portfolios [...]

By: A Lap Of The Blogs : WhereDoesAllMyMoneyGo.com

A Lap Of The Blogs : WhereDoesAllMyMoneyGo.com — Fri, 17 Oct 2008 03:05:59 +0000

[...] finally, I would like to re-point your attention to the piece I wrote about How reacting in fear can damage portfolios. You’ll note I used a 14.52% correction in the example which seems almost trivial compared to [...]

By: Don’t Decide To Become A Short Term Investor : WhereDoesAllMyMoneyGo.com

Don’t Decide To Become A Short Term Investor : WhereDoesAllMyMoneyGo.com — Fri, 10 Oct 2008 03:55:16 +0000

[...] recommend revisiting an earlier post on “An Example of How Reacting in Fear Can Hurt Portfolios“. Share and [...]

By: Preet

Preet — Sun, 21 Sep 2008 03:00:43 +0000

@ Joe and Q re: the AC_Runactivecontent.js error message – I get that on my work terminal too, but not when running Firefox. I haven’t changed anything on the site so I’m stumped. The only thing I could suggest is trying out a different browser. :)

@ Acorn – I find that the market is moved more by institutional investors who try to gauge future earnings through financial statements and other indicators – the retail investors tend to be more reactionary to price movements. Either way, if the consumer is not spending then earning will be depressed and the same result will occur (i.e. stock prices not getting pushed up).

By: q

Sat, 20 Sep 2008 22:03:28 +0000

Preet

I am also getting a warning dialog about AC_ Runactivecontent.js

By: Acorn

Acorn — Sat, 20 Sep 2008 19:10:19 +0000

Hi Preet,

You are right with corrections… But, these days many people are recovering their savings (not the money, which they lost with “investing”) that were deposited in the Bear Stearns, not buying new cars and stereos. So it is hard to expect that they will drop everything and start to buy stocks pushing the market up. Well, I have to say about market that “this tine is different…”

By: Joe Dolan

Joe Dolan — Sat, 20 Sep 2008 03:25:29 +0000

Preet, I have ie7 and windows xp. it now says on your site that i require AC_ Runactivecontent.js. How do I get that? I’m not very good with computers. Thanks for your help—-Joe

By: Joe Dolan

Joe Dolan — Sat, 20 Sep 2008 03:20:47 +0000

Excellent post!

By: Preet

Preet — Fri, 19 Sep 2008 13:02:32 +0000

@CC – I would put money on it!

@Michael James – Thanks, I think I was inspired by your recent posts on behavioural finance. :)

@Mark – hedging with options is certainly a viable solution for many investors – especially if it provides peace of mind.

By: Mark Wolfinger

Mark Wolfinger — Fri, 19 Sep 2008 03:54:18 +0000

But, if you are going to ‘expose yourself to equities,’ you can hedge your positions with options – preventing large losses.