If You Are Unsure What To Do About Your Investments...

Then do nothing.

In other words, don't sell your holdings.

In the current climate it can be somewhat uncomfortable to see the market continue to go down, even after it has already dropped by a not-so-small amount already.

It doesn't help that the world generally seems to be really messed up right now either - there's war, a persistent pandemic, high inflation, and rising interest rates among many other things that are telling you to "run for the hills".

But let's be honest with ourselves; do we really know how any of these events are going to affect the market?

Even if we guess correctly, do you think we'd be able to time it perfectly?

If we try to guess and take some sort of action, wouldn't we become "active investors"?

You know... the ones who do (a lot) worse than a monkey throwing a couple of darts.

So I repeat.

If you're unsure what to do then the best thing to do is probably nothing, and just keep holding.

Now we're all human so I'm sure there's many people out there who feel like they should be doing something while all of this is going on; so here's a couple of ideas that may help you through these tough times.

Firstly, dispel the belief that being financially dependent on a job is the "worst thing ever". This is some fallacy that is overly prevalent within the FIRE community.

It's good that you want to be financially free, but that doesn't mean you can't love your work. Put aside the ego and focus on becoming the best version of yourself in the workplace. Who knows, you might end up discovering that you actually enjoy the work and find it meaningful, which can only lead to good places.

Next, build your cash buffers.

If you're keeping to your budget and find you have money left-over, but you're a little concerned about investing it, then how about increasing your cash buffer to give you a slightly better sense of safety.

I know there's high inflation right now but having a couple extra thousand (or whatever amount) in your emergency fund wouldn't be the worst thing ever.

At the very least, that bigger buffer may help you regain some confidence in continuing with investments while the markets continue to bleed. We all know that now is the time to be doing so.

And finally, if you're not going to invest in the markets then at least invest in yourself.

Because at the end of the day if it all goes up in flames you'll still have yourself, your knowledge, and your skills.

If you can offer some sort of value to the world you'll somehow be able to make a living.

Plus time will seem to pass by quicker when you're focusing on improving yourself rather than market-watching everyday and hoping for the bull to come charging back.

Worst case scenario is you become a better version of yourself.

Best case scenario is you become a better version of yourself and can use that new found knowledge to increase your earnings.

Sounds like a win-win to me.


Don't wait for some magical number before you start "living". Life is full of surprises and you'll never be able to plan it perfectly. If you're doing sensible things with your money you'll eventually reach your goal. So start living now. The longer you wait, the less time you'll have. Money can be made, but time cannot. You are the barrier to the life you want to live, not a 4% safe withdrawal rate.

  • Instagram
Subscribe to stay updated on new posts.

Thanks for subscribing!