InvestorQ : How do I protect my hard-earned money from the stock market crash in 2021?
Anjali Desai made post

How do I protect my hard-earned money from the stock market crash in 2021?

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1 year ago
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There’s a lot more to the stock market than the Dow Jones Industrial Average. Diversify in as many different types of accounts as possible. For stocks, put the money in multiple sectors. Invest in low-cost funds that track different market indexes over many industries. Whether your approach is aggressive, conservative, or somewhere in between, you need to be invested in asset classes that are not interconnected. Invest in some things that are not stocks because their value sometimes goes up when stocks drop.

Individual stocks are the riskiest and rewarding investment. Generally, you should not worry if your stock is down because the entire market is down. 401K is a long-term investment. You are supposed to take advantage of dollar-cost averaging by investing every month from your paycheck.

Stick to your plan. If you are investing a specific dollar amount every pay period, keep doing it. When the market drops, you’ll actually buy more stock and be better off once the recovery comes.
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