Part 3/9:
A common query among investors is whether to sell equities due to expected further declines. However, the market’s unpredictability makes timing a treacherous venture. Before making hasty decisions, investors should contemplate:
What is your buying back-in strategy? If selling, determine where you foresee the stock stabilizing.
What will your emotions be if the stock rebounds before your buy-in? The potential for regret looms large in uncertain situations.
Have you considered the tax implications? Depending on the type of investment accounts used, capital gains tax can play a significant role in your overall strategy.