TAKING ADVANTAGE OF A DOWN MARKET
Although the economic climate may not be ideal for some financial strategies, there are also strategies you can use to gain financially in a down market.
Use these techniques to take advantage of the current economic dip.
Buy highly rated stocks when their prices drop.
If it’s a reputable company with a great track record, you know the stock prices are going to go back up. Buy some great stocks while the costs are low and then watch your money multiply.
Purchase real estate.
Have you purchased your first home yet? Now is the time to buy. There are deals galore for condo units and homes. Plus, interest rates for home loans are at their lowest level in decades.
Re-balance your stock portfolio as necessary.
Diversity is the key to a money-making portfolio. Stay on top of your stocks, mutual funds, bonds, and CDs. Avoid putting all your money into just one or two investments. Know when it’s time to get rid of a particular investment. Review your monthly statements and ask questions of your broker.
Ask that your rent be lowered.
If you’re renting your home or place of business, consider negotiating to pay lower rent. When you mention the current economic climate and rise in food costs, your landlord might be willing to reduce your rent for 6 months or more, just to get you to stay. Then, put the money you saved on rent into your investment account.
Shop for business needs.
When the market’s down, goods are cheap. Now’s the time to stock up on office supplies and equipment. Update your computer for a song. Ask for additional deals. If items you need for your business are already on sale or clearance, state you’ll purchase 3 or 4 items if you’re given an additional 15% off. This method works!
Now is the time to be bold and step up to take advantage of the investment market!