How to invest in chaotic markets

How to invest in chaotic markets

Contrary to popular wisdom, even retail investors should pay attention to volatility

Just ignore it. That, in short, is the advice given to retail investors when stockmarkets convulse, as plenty have over the past few weeks. Watching hard-earned savings disappear in a flash tends not to promote a cool head. So do not check your portfolio, do not tot up your losses and, above all, do not decide that now is the time to overhaul your entire investment strategy. Simply wait for the storm to pass and for share prices to resume their long march upwards.

This article appeared in the Finance & economics section of the print edition under the headline “Controlled chaos”

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