How to Handle Stock Market Declines

Good morning,

Here is your Thursday Junto newsletter.

We’re now over 200 strong! I’m having a lot of fun writing this and hope you’re enjoying each email. You can always respond to these with feedback, questions, or comments.

Thank you for reading!

“Returns are never free. They demand you pay a price, like any other product. And since market returns can be not just great but sensational over time, the fee is high. Declines, crashes, panics, manias, recessions, depressions.”

News You Should Know 📰

Janet Yellen says inflation will be “much lower” by end of 2023 (Axios)How Did the Housing Market Get So Unaffordable for So Many? (WSJ)FTX founder Sam Bankman-Fried arrested in the Bahamas after U.S. files criminal charges (CNBC)Supreme Court Will Hear Second Case on Biden’s Student Loan Forgiveness (Forbes)7 Alarming Reasons Americans Aren’t Saving for Retirement Today (Yahoo)Are Solar Panels a Good Investment? (NYT)Investors Are Losing Faith in Cathie Wood’s ARK (WSJ)U.S. Justice Dept is split over charging Binance as crypto world falters (Reuters)

The Type of BS You Should Ignore 🙅🏼‍♂️

The Best Stocks to Invest $50,000 in Right Now (Motley Fool)Deutsche Bank Predicts a 25% Stock Market Crash: 2 Recession-Resistant Dividend Stocks (Seeking Alpha)

I’ve removed “Market Returns YTD” from the newsletter. If you have a sound financial plan, you don’t need to pay attention to the market returns each day. Instead, set your asset allocation plan, automate it, and go eat some pizza.

Expert Tip of The Week 💎

“It’s crucial that you develop mental frameworks that will keep you in the investing game long-term. Understanding that market declines are the price you pay for market returns is one of the most important.”

The market generally goes up over timeDollar-cost averaging can prevent emotional investment decisionsView market declines as the price of admissionDo NOT view market declines as a “fine” for doing something wrongShifting your mindset to understand market declines are part of life will help you stay invested over the long term

Read the Full Article: How to Manage Market Declines: Advice from Morgan Housel

Announcements & Deals 🔈

Virgin Atlantic Offering a 30% Transfer Bonus on Your Amex Points (The Points Guy)Sign Up for Daffy (My Favorite Way to Give to Charity) & Receive $25 for a Charity of Your Choice (Daffy)Join DeleteMe & Get 20% Off. DeleteMe assists in removing your personal information from publicly available data brokers (DeleteMe)Get top flight deals straight to your inbox (Scott’s Cheap Flights)

Get after it this week!



PS: Remember to run through your end-of-year checklist before 2023!

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Disclaimer: This newsletter is strictly informational. It is not investment advice, tax advice, financial advice, or a solicitation to buy/sell any assets. Please do your own research. This newsletter may contain affiliate links, meaning I get a commission if you decide to make a purchase through my links (at no cost to you).