Older workers and retirees might be nervous over what the volatile stock market of late means for their nest eggs. So here's why now is the time to remain calm. All that's happened so far is the market has roughly given back its year-to-date gains during 2018. If you've been invested in the stock market for the past several years, you've most likely enjoyed very good returns – much better returns than if you'd invested in bonds or other "safe" investments. Also understand that nobody can reliably predict when the market will crash or recover. The best you can do is to adopt strategies that help you ride out stock market crashes when they happen -- without needing to know exactly when they'll happen. To that end, here's a two-step strategy that can protect your retirement from stock market crashes: Develop sources of monthly lifetime retirement income that don't drop if the stock market crashes. Use these "retirement paychecks" to cover your basic living … [Read more...] about What retirees and older workers can do about stock market volatility
Stock market volatility index
Global volatilities highlight the Vietnamese stock markets resilience, Photo: Dung Minh After a turbulent year that saw both record highs and lows, the Vietnamese stock market is expected to regain its footing in 2019. Most analysts believed that the VN-Index will bounce back from the doom and gloom of 2018, reaching as high as 1,049 points by December this year. This is equivalent to an 18 per cent increase, but still lower than the 1,200 peak in last April. Amid growing tensions around the world, especially the ongoing US-China trade war, it seems that investors will find refuge in Vietnam’s stable macroeconomic performance and strong domestic consumption. In 2019, the stock market is likely to welcome a new Securities Law that promises to relax the foreign ownership cap that used to drive major funds away from Vietnam’s listed companies. In this amended version, as a general rule, foreign investors are allowed to own 100 per cent of stakes at a Vietnamese company … [Read more...] about Stock market in for buoyant new year
roller coaster Plunging share prices, multiple profit warnings and the waning DAX point to risks roiling Germany, Europe’s largest economy. Published on October 10, 2018 10:43 am German stocks are not keeping their poise. Ceconomy shares plunged more than 20 percent Tuesday after the consumer electronics retailer issued its third profit warning this year. And online furniture dealer Westwing shed 13 percent from its IPO price on the first day of trading. The losses in the two stocks came for different reasons, as did Monday’s sharp decline in stock market darling Wirecard, the newest addition in the DAX index of 30 blue chips. Taken as a whole, however, the volatility in German stocks and the downward trend marked by Tuesday’s six-month low in intraday trading highlights the underlying fragility of the country’s economy. The risk of financial instability posed by Italy’s radical euroskeptic government and the frailty of Italian banks, the growing … [Read more...] about Stock market volatility shows fragility of German economy
Most people never forget their first love. I'll never forget my first trading profit! But the $600 (1970 dollars) I pocketed on Royal Dutch Petroleum was not nearly as significant as the conceptual realization it signaled! I was amazed that someone would pay me that much more for my stock than the newspaper said it was worth just a few weeks earlier! What had changed? What had happened to make the stock go up, and why had it been down in the first place? Without ever needing to know the answers, I've been trading RD for thirty-six years!Looking at scores of similarly profitable, high quality companies in this manner, you would find that: (1) most move up and down regularly (if not predictably) with an upward long-term bias, and (2) that there is little if any similarity in the timing of the movements between the stocks themselves. This is the "Volatility" that most people fear and that Wall Street loves them to fear. It can be narrowly confined to certain sectors, or much broader, … [Read more...] about Relax, A Volatile Stock Market Is Your Dearest Friend
Q: The stock market has been so volatile in the last six months I was thinking about selling all of my stocks and mutual funds. What are they key considerations of such a change? The Problem -Stock Market Volatility Somewhat like the weather, the stock market has been fluctuating from day to day and from hour to hour. One day the market is up 3%, the next day it is down 2%. Sometimes it just seems safer to simply keep your money in the bank, but this could be a big mistake. The Solution - Slow and Steady Wins the Race Remember the story of the tortoise that finished first in a race against the hare? Investing in the stock market can be very advantageous for the slow and steady investor and very disadvantageous for erratic investor. Let's look at example of two investors, Madison and Torrey. At the end of 1987, Madison invested $1,000 in the S&P 500 Index (an index that represents the U.S. stock market) and maintained her … [Read more...] about With the Stock Market So Volatile Over the Last 18 Months, Should I Sell All My Stocks and Funds?
Stock market volatility predicted this week Phuong Thao By Phuong Thao - The Saigon Times Daily HCMC - Securities companies have forecast the local stock market would experience at least two falling sessions and the stock indexes would fluctuate strongly this week following a five-day winning streak. Last Friday, the stock market did not seem to respond to positive macroeconomic indicators released by Government agencies as laggards outnumbered gainers by two-fold on the Hochiminh Stock Exchange. However, heavyweight GAS with a 3.7% gain saved the last session of the week, driving the VN-Index up 0.42%. On the Hanoi market, the HNX-Index also advanced a slight 0.3% thanks to some active heavyweights. On the other hand, trading value dropped 35% against the previous day. Foreign investors continued to net buy at around VND160 billion collectively on both bourses. Viet Dragon Securities Company (VDSC) in its report said that the last trading week of June was strong as investor … [Read more...] about Stock market volatility predicted this week