Prajna Capital - An Investment Guide

Is the choppy stock market making your heart skip a beat or two? Put your fears aside. Greed (bull) and Fear (bear). These are two words investors often hear and think of, but are unable to control their emotions when it comes to investing. In fact, when stock markets are northbound, their confidence in buying increases considerably. They buy stocks irrespective of their high price-to-earning ratio and are sure to make good money. If, however, the markets enter a bearish phase, their confidence goes down, leaving them wondering where did they go wrong? The chaotic bear market environment then sets the stage for fear to creep into their minds, thus impacting investment decisions. To make sure that you successfully weather the raging market storms, here are six ways to drive out your fears of losing money in a bear market. STAY CALM AND ACT SMART Easy to say than follow. It is true that bear markets spread panic among investors, often causing them to sell all the stocks they hold. But a...