Stocks I’m Selling as this Market Drops

…None. Sorry folks, but I always buy and hold for the long haul! You shouldn’t be selling anything if you original investment thesis still holds true.

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Just Blowing Off Steam

After a 59% rally from February 2016, it was about time the markets as a whole blew off a bit of steam. The pot was already getting frothy with pressure, so it was only a matter of when, not if.  We’ve all been spoiled lately because of an enormous lack of volatility in the stock market; we’ve seen weeks upon weeks of higher highs and new records being set so consistently it’s been almost “expected.”

But, alas. The market giveth the market taketh away, although only around 5%. The reason this market drop is causing such a raucous in the news is because we’ve been blissfully ignorant of the typical waves of ups and downs the stock market usually experiences. Especially over the last two years. Not to worry though, these moves are normal, and it’s better to have a down day or two, than to enter into a completely bear market for months or years.

 

Nothing to fear yet, just the pot blowing off some steam. Plus, everything is selling at a 2-7% discount! Buy up!

Stock Picking is Hard.

“Back in 1999, a chimpanzee named Raven picked stocks by throwing darts at a board. Her portfolio ultimately outperformed over 6,000 money managers by scoring a whopping 213% return for the year. And years later, a Russian circus chimp named Lusha assembled a portfolio that beat 94% of Russia’s mutual funds. Kind of makes you question the benefit of paying the experts.” – The Motley Fool

Stock Picking is Hard. That’s why financial advisors make so much money doing it for you! Take a look at the chart below or above, you can see the total 2017 returns for a few big name stock picking websites. Only 1 beat the actual market itself. Just 1!

This chart only emphasizes the need for everyone to research their stocks carefully before jumping in blindly, and take everything you read on the internet with a grain of salt, even when it comes from a “reputable” sources.

MW-GB415_downlo_20180109122401_NS

You might as well go find that chimpanzee, Raven, and have her pick the stocks for you. Or better yet, do you have a dog or cat in the house?

Give them something to do for 2018.