1. STICK WITH QUALITYInvest in high quality investments with a proven track record. For example, companies that have been through wars and recessions. We can see that even at the worst of times, people were purchasing their products and we can reasonably expect that 20 years from now they will still be producing products that people will buy.
2. DIVERSIFYSpread the risk by investing across multiple asset classes, industries, geography, etc. Additionally, since it’s impossible to predict where the next opportunity in the market will come from, diversification puts you in a position to potentially benefit, no matter where the “boom” happens.*
3. INVEST FOR THE LONG TERM“Time in the market” not “timing the market” is what matters. We cannot predict what will happen in the future, but we can look to history as a guide. It is widely understood that day to day market movement is often driven by the latest news headline. Despite this fact, history shows us that high quality investments that are well diversified have tended to rise in value over the long term.**
*There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.**Past performance is no guarantee of future results. No strategy ensures success or protects against loss.