Buy great companies that has competitve advantages when they are at great value in a downturn. Look at their balance sheet, debt level, cashflow, growth rate, find out the intrinsic value through DCF, diversified your portfolio, size into your positions and do not go all in. In a market correction, risk manage if there is a need by rebalancing your portfolio, either take some profit and hold cash, re-enter into the position when there is a rebound, or invest into other great companies at a value. Key thing to note is that not all companies are suitable for dollar cost averaging as they may never recover. God bless.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments