Picking Up A New Skill For The Next Stock Market Recession

One of the general truisms for investors during a sharp market decline of 20% or more like we saw in 2008-2009 is that, as long as you are a net buyer of solvent companies, you are bound to do well. The only type of scenario in which that wouldn’t be true is if you had a late 1990s type of situation where some companies became so expensive that even a 20-30% price decline didn’t make those companies cheap, but rather, took them from grossly expensive to slightly expensive.

Anyway, the question I’ve set out to answer is this: When there is a significant stock market decline, what is the most intelligent course of action that should follow?

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Beneficiary Forms Can Override Your Last Will And Testament

You know that deprecating saying that goes around about how the average American spends more time researching the right fridge to buy than studying investing? There’s a corollary to that that should be kept in mind as well: among people who study investing, there is almost no time spent making sure that the paperwork for disbursing the funds (either during life or after it) is done correctly.

The laws regarding the settling of estates, or pretty much anything involving dead people, often have strict rules that look to actual actions rather than intent because the person isn’t around anymore to say what they meant and all that’s left is a swearing contest between adverse parties confident that they know what the deceased individual really wanted.

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