7 Key Principles Investors Should Keep In Mind During Market Downturn

By Sheetal Kumari | March 3, 2025

MC Desk | March 5, 2025

7 Key Principles Investors Should Keep In Mind During Market Downturn

Catching the exact bottom is nearly impossible. Instead, focus on steady investments like SIPs to average out costs.

Don’t Try to Time the Market

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A falling market is a good time to review your portfolio and make necessary adjustments.

Reassess

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A well-diversified portfolio cushions against major losses. Ensure your investments are spread across asset classes.

Diversification

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Downturns often present quality stocks at discounted prices. Investors with a long-term horizon can accumulate wisely.

Look for Buying Opportunities

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Stock prices may dip, but if a company’s fundamentals are strong, its value will recover over time.

Keep an Eye on Fundamentals

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Selling in panic often locks in losses that could have been recovered over time.

Stay Calm, Avoid Panic Selling

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Short-term fluctuations do not define long-term wealth creation. Avoid any knee-jerk reactions.

Focus on Long-Term Goals

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The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

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