Fri Jun 13 2025, by Tyler Gardner
3 Things to Do Instead of Panicking When the Market Crashes
I'm Tyler, a former financial advisor and portfolio manager. If any of this is helpful, sign up for my free newsletter by clicking the link in my bio.
1. When in Doubt, Zoom Out
The dumbest thing we've ever done is normalize looking at the stock market daily when we're not day traders. If my investment plan is a 20-year plan, what happens today or tomorrow is officially irrelevant.
2. Reassess Your Risk Tolerance, Not Your Portfolio
If you are freaking out and tempted to sell, know that it's not a complete loss; you've just bought yourself some timeless and priceless information. You weren't invested appropriately, and your theoretical risk tolerance is not the same as your practical risk tolerance.
3. You Haven't Lost Money
Remember, you haven't lost money. That's not how investing works. You own the exact same piece of the pie that you did yesterday; the entire pie is just smaller now. But the good news is, over time, the entire pie has only gotten bigger. So if you don't sell, you haven't lost a dime!
Conclusion
If any of this is helpful, sign up for my free newsletter by clicking the link in my bio.
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