Question of the Day

Investing #47

www.ngpf.org Last updated: 4/20/20

Click here for more info on this topic.

Follow Up Questions

​

1. In March 2020, the stock market had its worst month since October 2008. Based on the data in the previous table, what actions did investors take in March?
2. When investors sell stocks they convert one asset (stocks) into another asset (cash). What are the reasons you think that investors were selling stocks in March and holding more cash?
3. Your friend says, “Of course everyone knows the stock market is going to drop because of the pandemic. I’m going to wait until the stock market bottoms out before I invest.” What is one flaw in his thinking?

​

​

​

​

​

​

​

​