How to make the most of a market correction
The best strategy in the stock market is to have a calm mind
[SINGAPORE] The Nasdaq Composite Index slipped into correction territory last Thursday (Mar 6), marking a 10 per cent decline from its recent peak. In theory, this is good news for investors. After all, a market correction allows you to buy stocks at a discount.
But in reality, many will shy away, fearful that share prices will continue to fall.
This raises a key question: Why is there a disconnect between what is rational and actual investor behaviour? Here is a hint: when you are under pressure, even the most familiar tasks can suddenly feel monumental.
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