You never know which way the stock market will swing, especially during a pandemic. That’s no reason to avoid investing, as long as you do it prudently.
Men’s Journal shares this advice from billionaire investment guru Warren Buffett:
Don’t stress about the news. The pandemic and other issues are going to be in the headlines for a long time. Don’t get distracted. Remember that conditions will change, and your best bet is to stay focused on your goals.
Think of the long term. The market is unpredictable. You can’t guess where it’s going to be tomorrow or next week. Over time, though, the stock market pretty much always rises, so be patient and let the overall trends do their work.
Focus on value. It’s easy to look at stock prices and try to make a quick buck, hoping a low-priced stock will go up.
You’re better off looking at value. Analyze a company’s balance sheets, look at its past growth, and consider its potential for future growth. This will give you a better picture of whether the stock is worth buying.