Warren Buffet Dropped These Investing Tips during COVID-19
How COVID-19 has affected everything in the world is common knowledge today. The pandemic has shut down the economies of many countries, and the stock markets aren’t excluded from the hits. Financial institutions have been making speculations as to how they will revive the economies. Significant indexes like Dow Jones and S&P 500 were bearish in March. Since then, the market hasn’t been the same.
In such a grim financial atmosphere, is investing still beneficial? According to Warren Buffet, it is if you follow these golden tips he’s given.
Bits of advice from Warren Buffet – Top Investor
Warren Buffet, the chairman of Berkshire Hathaway, enlightened his fellow investors via his annual interview with CNBC in February. The chairman interviewed via teleconferencing for the first time. Below are the top-notch pieces of advice he shared:
- Don’t fret over news headlines
A highly critical aspect of trading is fundamental analysis (news). The Oracle of Omaha said that with the global pandemic in place, you shouldn’t value day-to-day news. The market is unpredictable. It doesn’t always dance to the tune of current events. He said in the interview that the movement of the market can’t be determined by a headline.
- More Focus on Value
Warren said that nobody knows where the market is heading to. He advised that there should be less focus on share prices and more on the company’s total value, considering its past performance. This assessment, coupled with the potential of future growth, will get you a clearer picture of the market.
- Long Term Strategy
When you want to invest, don’t think like you’re in a grocery store to buy something. You have to consider the stocks you’re buying as a business, one from which you’re expecting profits in the next decade. When you decide to go long term, you don’t bother yourself with everyday analysis and won’t worry over a news headline.
- Go for an index fund
Buffet gave people the advice of investing in an index fund. He commented that people are much better purchasing a portion of America and forgetting about it. So, if you want to invest in a solid investment plan that yields good returns, you can try index funds.
Wrapping it up
Berkshire Hathaway’s chairman buttressed his advice. He also talked about not borrowing money for investment. With this COVID 19, anything can happen anytime. Following expert advice and not experimenting too much could prove beneficial.
More in Advisor
Check Out the Most Hyped-Up Financial Advice You Could Receive
COVID-19 has changed our lifestyles, including how we manage our finances. People are yet to have access to restaurants, shopping, or...June 10, 2020
5 Super Simple Ways to Start Saving Money Right Now
Every individual thinks about saving money for the future. Be it for helping kids in higher studies, or buying a beautiful...June 9, 2020
Financial Tips 101 – Places Where You Can Keep Your Money
In this continually fluctuating economy, saving up can be a real challenge. With more and more people losing their jobs, sources...June 4, 2020
5 Common Investing Mistakes You Should ALWAYS Avoid
In investing, making mistakes is a lot easier than expected. With how complex it is, investors often fail in a lot...May 28, 2020
Guy Fieri Helps Raise More Than $20 Million to Help Restaurant Employees Amid the Coronavirus Crisis
The COVID-19 pandemic has caused a massive crisis in public health and economies all around the world. Shelter-in-place orders, which aim...May 21, 2020
Bank of America Just Issued a Ground-Breaking $1 Billion Corporate Social Bond to Help Fund the Fight Against COVID-19
American multinational investment bank Bank of America recently issued a corporate social bond worth $1 billion to help support the fight...May 20, 2020
The Richest Man in Singapore is Earning $1 Billion a Month in 2020 Because of This Amazing Reason
The coronavirus pandemic has not only wreaked havoc in the world’s public health situation, but it has also disrupted the economy....May 15, 2020
Steven Spielberg Has Invested at Least $200 Million on Real Estate Properties Across the U.S.
If you love watching movies, we’re pretty sure you know who Steven Spielberg is. The 73-year-old American filmmaker has directed some...May 15, 2020
A few Pro Tips on Navigating Your Business Through Turbulent Times
Dying sales and lost consumer confidence can not only ring the bell for big companies but can also damage small enterprises...May 12, 2020