5 Rules and 5 Stocks for a Panicked Market
14068.35%January 31 | MyPlanIQ portfolio symbol P_34955
As we return from the Labor Day Holiday,
we are catching up with the turmoil that Europe enjoyed while the US was
taking a day off. With significant concers over the Euro and
speculation that the financially weaker countries will be forced to
leave the Euro, many wonder what the future holds. It seems incredible
that only six months ago, there was significant appetite for higher
risk, higher return investments. The danger is that we fall foul of the
buy-high, sell low in a panic and we go through the gut wrenching losses
that we seem doomed to repeat.
Seth Jayson
His rules are the basics of investing that may be well worth reviewing:
- Review your financial needs -- do you need income or are you
looking for growth in future -- this will help determine what investment
vehicles you consider
- What is your risk tolerance -- equities are inherently risky and you should decide whether you can live with it
- Don't react, plan -- think through any decisions you might make
- Have a cash cusion so that you aren't forced into short term actions and you can take advantage of bargains
- Keep a list of stocks you would like to own if they drop and become a real bargain
He then goes on to outline his own shopping list which are:
- Air Products and Chemicals (NYSE: APD)
- Corning (NYSE: GLW)
- Apple (Nasdaq: AAPL)
- PotashCorp (NYSE: POT)
- Waste Management (NYSE: WM)
This is a strong list of companies that we will measure against a balanced portfolio of Dividend producing ETFs.
