raaman
Valued Contributor
To know what to do with your savings, you must first understand why stock prices fluctuate so severely. On some occasions, in fact, the speed of fall may be the strongest.
Market prices reflect investors' expectations of future earnings and their risk. If expectations change, prices change. And as you might have seen, they can change dramatically.
These changes do not mean that the market has gone crazy or that the world is ending. Steep drops are normal to occur from time to time in an efficient market. And since they are unavoidable, they must be included in any investment plan.
Market prices reflect investors' expectations of future earnings and their risk. If expectations change, prices change. And as you might have seen, they can change dramatically.
These changes do not mean that the market has gone crazy or that the world is ending. Steep drops are normal to occur from time to time in an efficient market. And since they are unavoidable, they must be included in any investment plan.
