Articles, Blog

Corona Virus: Hvad gør jeg med mine investeringer?

March 2, 2020


Hi! Welcome back to my channel about investment and money tips with the purpose of achieving freedom and opportunities. Today, we’re looking a bit at the corona virus which have caused red numbers in the most markets. So if you have been in doubt about buying, selling or holding your stocks. Then watch this video where I’ll provide the answer. I’ll not talk too much about corona virus it self. I don’t know too much about it as I don’t read or watch the news. I know a lot of people that spend a lot of their time reading news, but when Iook what they’re reading there’s even more clickbait than on my YouTube channel I don’t feel that reading news provides me any value and that medias main purpose is creating fear. I can’t tell you a lot about corona and how it will evolve but I can tell you what to do with your investments. I see a lot of posts in different finance groups about the corona virus and what to do: buy, sell or hold? A lot of people have “lost” money and especially for new investors can this have a high emotional affect to see ones money being worth less or even much less compared to when you invested your money initially If you watched my last video, I gave an example of some real data from the SP500 index and looked at 3 scenarios for investors: 1) only buying at the top, 2) only buying at the bottom, and 3) one buying consistently. The one who performed the best was Steady Sarah that invested consistently This video is for long term investors I’m not a day trader so I can’t tell you about that but if you are a long term investor buying stocks using ‘buy and hold’ principle then this video is for you! Steady Sarah, that invested each year no matter the price managed to get the best ROI on her investments compared to only buying top/bottom by attempting to time the market and even by trying to time the market at the perfect spots you wouldn’t get a better return than by buying consistently Time in the market beats timing the market So given you are a long-term investor, don’t pay too much attention to the fluctuations in the market When I’m looking at my own stocks for this week they are down more than 20%! which is a great step back Looking at today, they vent back 11% Looking at last week, they vent down 23% The last month, they increased +16% Last 3 months, they increased 70% This is not my complete portfolio, but some of my individual stocks (that are the most volatile) this is just to show you the perspective because even though prices vent down this week looking just a month back, I’m still higher than when I started It’s super important to consider the perspective because the trees doesn’t grow into the sky there will be set backs because of fear, corona or something else. It’s a inherent part of the stock market. So if you just started investing this week: bad luck. but if you are patient you will gain it all back again within a reasonable amount of time stock prices will go up again given that you have diversified your investments The markets give a return of roughly 8% yearly on average after inflation (historically last 100+ years) This doesn’t mean it goes up 8% every year but that they do on average over time. There has been a big stepback now but I promise that the stock prices will go up again to same level when you bought or higher what you can do in this situation to take advantage of the lower prices buy some more stocks (at a cheap price) look at it as a discount, like Black Friday everything is on sale so if you have any cash you can buy some more stocks You can even create a new account for these stocks so you can see in the future how much these specific stock increased since you bought your new stocks now I cannot guarantee that prices are up in a month but if you just hold, prices will get back up No one can say if they go up or down tomorrow It’s also super easy to be clever looking back e.g. if I just sold last friday and bought today? or tomorrow? or next week? or when should you buy again (when do we hit the bottom?) It’s super difficult to time the market because you need to be right when both buying and selling your stocks It requires time, effort and expertise about the market in order for you to time the market So if you are a long-term ‘buy and hold’ investor then my best advice is to not care about the prices and buy consistently follow your plan and see this as an opportunity to buy some stocks at a cheaper price if you are a long-term investor, your stocks will increase in value again and if you have been in the market for a long time then you will still be very positive overall in your gains compared to when you made for initial investments even after a small step back this week. As I mentioned in the beginning, I would give you the answer to what to do now: buy, sell or hold. The answer is: follow your plan that you made when buying your stocks maybe you say: “I had no strategy when buying my stocks” but if you don’t know when buying you stocks, when you want to sell then it will be an emotional roller coaster you are in for a ride in! here in the stock market because the prices go up and down all the time my recommendation, is to make a plan before buying your stocks so that you have an idea of when to sell them so even if prices go up or down, you know within when to sell So follow your strategy, if you’re a long term investor which I would say most hobby investors should be those who doesn’t have time to spend hours a day trading stocks then my advice is, continue buying stocks as you do delete your investment apps so you don’t get distracted with the current fluctuations there is a lot of psychology in stock trading so just buy consistently (like Steady Sarah) When you are a long-term investor, you probably don’t want to sell the next 20 years anyway then its your pension or mean for early retirement (FIRE) then this step back is very minor in the big picture Be patient and spend your time on other stuff that makes you happy so the prices doesn’t affect you in a bad way spend instead time on something positive which creates joy and then the prices will soon be back up as they were before this weeks drop If you liked this video and want to see more about investments, please give it a ‘like’ (I love you) I do my best to make a new video each week so you can have new content about money each Saturday subscribe for my channel to see the latest videos and click the bell to be notified about new uploads See you and happy investments!

9 Comments

  • Reply Daniels Pengetips February 28, 2020 at 8:36 pm

    Er din portefølje også smittet af corona?

  • Reply Iværksætterhistorier February 29, 2020 at 7:21 am

    Fortsæt det gode arbejde!

  • Reply Bass Drip NCS February 29, 2020 at 8:04 am

    awesomely epic

  • Reply Trap Drip February 29, 2020 at 8:06 am

    I enjoyed your video 🙂 Keep it up! Would you like to be YouTube friends? :]

  • Reply Mido February 29, 2020 at 8:49 am

    Så det er ligemeget om man køber etf’er eller enkelte aktier, begge giver gode penge på den langbane?

    *dumt spørgsmål sikkert

    Men giver enkelte aktier ikke bedre afkast end etf’er?

  • Reply Daniel Dipo February 29, 2020 at 9:54 am

    Det kunne være rigtig rart det med strategi… ALLE taler om at lægge en strategi osv. fordi ellers kommer man ingen vegne… men hvad ER en strategi og det er ikke så nemt som det lyder synes jeg. Der er mange variabler der skal med nærmest som et lille program "if, then, do, something" osv. 🙂 og det kunne måske være en god idé at vise eks. hvordan man via et regnskabsprogram som excel eller noget kan ligge en plan eller strategi eller holde øje med og se hvornår man rammer ens targets osv. osv. – håber du kan følge mig. Jeg har ikke investeret endnu fordi jeg ikke har lagt en strategi fordi jeg jo hele tiden kan finde på en ny strategi og "hvad nu hvis" tanker….

    Eks. hvis jeg tænker "Hold da op jeg vil investere i TSLA"… så ved jeg faktisk ikke hvornår jeg vil sælge.. fordi jeg synes at Elon Musk ændrer verden så voldsomt og tror at TSLA kommer til at blive 5, 10, 100 gange mere værd i hvert fald… og så har man jo næsten ikke lyst til at sælge på noget tidspunkt, men så får man jo heller aldrig profit – og måske kan det være smart at sælge mht skat (også her skal det for nybegyndere nok pensles ud hvordan hulen det praktisk gøres og det med at sælge den aktie man godt kan lide fordi der er smarte ting i forhold til skat og så købe den igen (men hvad nu hvis den er steget i mellemtiden… osv.)

    Hold da op en smøre – fede videoer du laver og keep up the good work. Bare et par tanker fra en anden Daniel 🙂

  • Reply Sarah Krarup February 29, 2020 at 7:37 pm

    Gode råd der kan bruges!

  • Reply Daniels Pengetips February 29, 2020 at 9:07 pm

    Er du ny investor, kan jeg anbefale at læse følgende bøger:
    – Børshandlerens psykologi
    – The intelligent investor
    Og ellers se en masse YouTube og følge med på Facebook-grupper som fx "Unge investorer"!

  • Reply Neminvestering.DK February 29, 2020 at 9:17 pm

    Fin uddybning af emnet ift. min sidekommentar. Det er virkelig nu folk finder ud af om de har taget en for høj risiko ift. hvad de kan holde til.

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