Five Tips for Coping With Market Turmoil Download a PDF Version of this page. It's usually a mistake to follow a panicking herd. Instead, remember that, while past performance does not guarantee future results, over time the stock market as a whole has moved upward - eventually recovering from even the sharpest correction. Successful investing means keeping a long-term outlook, especially in volatile conditions. Just remember the power of compounding.
Wise investors allocate their assets between stocks, bonds and cash according to their own profiles.
While you shouldn't base investment decisions on tax implications alone, take taxes into account to some degree. If you must sell, try to match any gains with corresponding losses to keep your tax liability to a minimum. Just as you would call a doctor with concerns about your health, seek advice from a professional when financial matters are troubling you. Investment decisions can have serious consequences, and it's well worth getting counsel before taking action. Successful investing means keeping a long-term perspective.