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Investment Strategy during Period of Recession

Posted By On 1/20/2009 08:11:00 PM Under

1. It is tough time during the period of recession and thus it causes churning in stomach when one sees the portfolio windling. A perfect strategy during the period of the recessions is as stated below:
(a) One must have a minimum of 3 year investing horizon.
(b) One must buy stocks as a systematic plan and can buy the stocks in small quantities.
(c) One can book the losses on stocks & sectors which are performing poorly.
(d) One must not fall into the value trap and a strict no for cheap stocks and penny stocks.

2. As a thumb rule avoid seeing these pink papers regularily as it unnecessary aggravates the pain.

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