Today's decline in the stock market may be the beginning of the long awaited correction. Maybe and maybe not. However, it's best to be prepared if a correction should happen.
I can't control the market or the economy. I can control the actions I take to be prepared. Simply, here's what I'm going to do:
- I will continue to hodl the equities, bonds and mutual funds that I currently own. No need to sell at a discount.
- Continue taking monthly distributions of investment earnings (dividends, interest, rental) and combine with Social Security payments and determine what percentage of fixed expenses are covered in a downturn..
- Use money market funds, if needed, to weather an extended (say 1 year) downturn. Expect to cover any shortfall caused by the decline.
- I won't be buying the dip, except if GOOGL drops to around $285. I will wait until a 10% before adding an S&P 500 ETF or mutual fund, more municipal bond funds. I plan to wait until the 20 year treasury exceeds a 6% yield before adding more.
Earlier I posted about what I would tell my younger self or do for my kids:
This is not financial, stock investment, investment, nor retirement income advice. Please consult a professional advisor.
Copyright © 2026 Achievement Catalyst, LLC
Subscribe to My Wealth Builder
No comments:
Post a Comment