FRIHOST FORUMS SEARCH FAQ TOS BLOGS COMPETITIONS
You are invited to Log in or Register a free Frihost Account!


how does a market crash





baboosaa
the way the market crash in the history has very good impact in the economy. This is the stage when some become broke and some billionaire. This teaches each investor to invest wisely and choose the right topic for his sector of investment. For the one who becomes rich in a crash they need to worry about their future.
liljp617
a market crashes when it's foundation is an open space full of people's feelings and opinions
hunnyhiteshseth
baboosaa wrote:
For the one who becomes rich in a crash they need to worry about their future.


I think its the other way round, the person who are able to survive a crash and remain rich in that are the persons who least need to worry about future.
baboosaa
they may not be the only one who need to worry. There are others too in the line who need to worry. Of course the customers donot last for ever ,business might need to go down or up. And of course crisis is too a part of future
iiinvest
The best time to invest is during the crash. The people who are patient enough to wait when stocks are cheap and then invest are so rare it is incredible. Most of the professional fund managers in Wallstreet are in the market at all times moving money back and forth so they are unable to wait for times when stocks are cheap. They hold mediocre companies at high prices so they don't lose customers. From time to time there are companies that are temporarily out of favor by Wall Street, that are great companies and are cheap. Be greedy when others are fearful and fearful when others are greedy.
ocalhoun
iiinvest wrote:
The best time to invest is during the crash.

That's assuming that there will be a quick recovery, and assuming that it won't fall even further.

All of the factors that caused this crash are still in place; I wouldn't start investing (at least not in stocks or corporate bonds) until those problems are fixed.
asnani04
When Market crashes, you have to simply invest more and more and wait for huge returns when the market bounces back to normalcy. Peter Lynch has rightly said, "Buy only when there is blood on the streets." I believe a crash is a huge disappointment, but on the other, positive side, it is the best time to buy stocks at lower prices than normal.

Just take the example of Warren Buffet, he is the ultimate long-term investor. Crashes don't concern him, because he knows that in the long run, if he has picked the right company to invest in, he will get returns. he will be paid well for his calculated risks. therefore, stop worrying about crash and start making cash. Idea Very Happy
ocalhoun
asnani04 wrote:
When Market crashes, you have to simply invest more and more and wait for huge returns when the market bounces back to normalcy.

Again, you're assuming that the huge boom experienced previously was 'normal'.

Truth is, the previous boom was largely just on paper -- not backed up by real increases in productivity -- and the parts of it that were real were fueled by enormous amounts of debt. (Which now needs to be paid off.)

If you're waiting for the market to 'return to normal', you need to examine the possibility that this might be what just happened. The market was at an unusually high level, and now it has gone back to normal.
Related topics
Broadband modem crash
DAP 8 is ready to download
...
Computer Freeze!
Why the english language is so hard to learn
The Last Movie You Saw?
All Java-Based Apps Are Unstable
Vote for the best wal-mart photo edit (8 entries!)
Mutual funds during Market fall...
World Economic Collapse 2007-2008
the economy hurts right now, so bad......
Thank you Mr. Bush
stock market crash - questions and answers.
Nuclear Reactors - World overreacting after Japan Quake?
Reply to topic    Frihost Forum Index -> Lifestyle and News -> Economics and Marketing

FRIHOST HOME | FAQ | TOS | ABOUT US | CONTACT US | SITE MAP
© 2005-2011 Frihost, forums powered by phpBB.