Bear Market Investing For Long-Term Investors

I was watching CNBC recently (I know) and many of the advertisements between the programming focused on bear market investing with an encouragement to buy some trading algorithm, or making rapid buy and sell decisions, or something or the other. The technical definition of a bear market is any decline of 20% or greater from a prior high, but the common usage of the term can sometimes refer to declines that aren’t as deep but come more rapidly.

Most people are either sold on the idea that they can develop the capability to sell a particular investment before it declines substantially due to overall economic conditions, or they feel the need to do something as paper wealth disappears before their very eyes.

I suggest an alternative route. Instead of posing the question, “How can I sell stocks and/or avoid dramatic paper losses?” and acting accordingly, I instead believe the best … Read the rest of this article!