Coronavirus

Professional tips for savers: These tips will help you get through the corona crisis

Massive price losses are also nerve-wracking for professional investors.

Massive price losses are also nerve-wracking for professional investors.

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In order to be able to estimate how great the shock of the financial market is in a crisis, a look at the so-called fear index is usually sufficient. This VIX measures the deflection of the prices on the US stock exchanges. The greater the volatility, the higher the index rises.

In the wake of the Corona shock, the value of the VIX rose to 80 and thus to a record level that even just exceeded the peak value during the financial market crisis. In addition, the US stock market recorded the largest daily loss in 30 years.

It quickly becomes clear that the crash on the financial market was one of the most severe in history and investors, who have little experience on the stock exchange, can be overwhelmed by the rapid losses. A clear rule has been in place for years. “Fear is a bad thing, panic is even the worst advisor on the stock exchange,” says Hans-Jörg Naumer, Director Global Capital Markets & Thematic Research at Allianz Global Investors in an interview with Business Insider.

Together with the expert, we have put together tips that you should definitely pay attention to in times of crisis on the financial market. Especially if you are not a professional investor. However, some of them do not only apply in crises, they are universal.

Seven tips on how to behave correctly in times of crisis on the financial market

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