{"id":2122,"date":"2018-10-26T09:50:55","date_gmt":"2018-10-26T09:50:55","guid":{"rendered":"http:\/\/blog.kuvera.in\/?p=2122"},"modified":"2018-10-26T23:53:26","modified_gmt":"2018-10-26T23:53:26","slug":"3-ways-to-make-sure-this-stock-market-correction-is-not-wasted","status":"publish","type":"post","link":"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/","title":{"rendered":"3 ways to make sure this stock market correction is not wasted?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_40 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" area-label=\"ez-toc-toggle-icon-1\"><label for=\"item-69e3b6d266d65\" aria-label=\"Table of Content\"><span style=\"display: flex;align-items: center;width: 35px;height: 30px;justify-content: center;direction:ltr;\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/label><input  type=\"checkbox\" id=\"item-69e3b6d266d65\"><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#The_stock_market_is_falling_What_do_I_do\" title=\"The stock market is falling! What do I do?\">The stock market is falling! What do I do?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#1When_it_comes_to_decisions_less_is_more\" title=\"1.When it comes to decisions, less is more\">1.When it comes to decisions, less is more<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#2Pre-load_your_decisions_with_a_what-if-market-falls_plan\" title=\"2.Pre-load your decisions with a what-if-market-falls plan \n\">2.Pre-load your decisions with a what-if-market-falls plan \n<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#3Identify_and_keep_a_track_of_experienced_investors\" title=\"3.Identify and keep a track of experienced investors\">3.Identify and keep a track of experienced investors<\/a><\/li><\/ul><\/nav><\/div>\n<p><img loading=\"lazy\" class=\"alignleft wp-image-2124 size-full\" src=\"https:\/\/blog.kuvera.in\/wp-content\/uploads\/2018\/10\/Arun-80-20.jpg\" alt=\"\" width=\"165\" height=\"293\" \/>About the Author: Arun is a personal finance blogger at <a href=\"http:\/\/www.eightytwentyinvestor.com\" target=\"_blank\" rel=\"noopener\">80 \/ 20 Investor.<\/a> Through his writings, he aims to simplify the complex world of investing with a focus on investor behaviour, asset allocation and fund selection. You can follow him on his <a href=\"http:\/\/eepurl.com\/dnBs9P\" target=\"_blank\" rel=\"noopener\">blog<\/a> or <a href=\"https:\/\/twitter.com\/arun_kumar_r\" target=\"_blank\" rel=\"noopener\">twitter<\/a><\/p>\n<h5><\/h5>\n<h5><span class=\"ez-toc-section\" id=\"The_stock_market_is_falling_What_do_I_do\"><\/span><strong>The stock market is falling! What do I do?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>The answer to this question can never be a precise one.<\/p>\n<p>As we gain experience in the equity markets, the <strong>approach<\/strong> to <strong>handling market falls<\/strong> will <strong>slowly evolve<\/strong> for each one of us.<\/p>\n<p>Now while I don\u2019t claim have a perfect solution, here are few strategies which I believe can help us handle market falls in a much more sane manner.<\/p>\n<h5><span class=\"ez-toc-section\" id=\"1When_it_comes_to_decisions_less_is_more\"><\/span><strong>1.When it comes to decisions, less is more<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>All of us know that, decision making is extremely tough during a market fall.<\/p>\n<p>While the \u201cWhat &amp; How\u201d part of the decision making has finally found some audience, unfortunately the equally important issue of<strong> when to make decisions <\/strong>is completely ignored.<strong><br \/>\n<\/strong><\/p>\n<p>&nbsp;<\/p>\n<p><img loading=\"lazy\" class=\"below-entry-meta aligncenter wp-image-20804 size-full\" src=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=840\" sizes=\"(max-width: 709px) 85vw, (max-width: 909px) 67vw, (max-width: 1362px) 62vw, 840px\" srcset=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=840 840w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=150 150w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=300 300w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=768 768w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg 960w\" alt=\"pocket-watch-3156771_960_720.jpg\" width=\"509\" height=\"339\" data-attachment-id=\"20804\" data-permalink=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/pocket-watch-3156771_960_720\/\" data-orig-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=840\" data-orig-size=\"960,640\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;3&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;NIKON D7100&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;40&quot;,&quot;iso&quot;:&quot;100&quot;,&quot;shutter_speed&quot;:&quot;0.0008&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"pocket-watch-3156771_960_720\" data-image-description=\"\" data-medium-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=840?w=300\" data-large-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/pocket-watch-3156771_960_720.jpg?w=840?w=840\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>Given the reach of internet and mobiles, each and every day, every hour, every minute there is always some market related event, news or opinion out there. Add to the mix, that inevitable someone who is hell bent on scaring you with some conveniently handpicked data (sample <a href=\"https:\/\/www.bloombergquint.com\/global-economics\/india-s-mutual-fund-carnage-shows-peril-of-ignoring-liquidity\" target=\"_blank\" rel=\"noopener\">this<\/a>).<\/p>\n<p>&nbsp;<\/p>\n<p>So, as the market fall continues, most of us get into the trap of constantly evaluating our portfolios and trying to make<strong> decisions<\/strong> on an<strong> as-and-when basis<\/strong> as new events\/news\/opinions keep bombarding us.<\/p>\n<p>&nbsp;<\/p>\n<p>Each and every time the market falls, the honest truth is that we really have no clue if the fall will continue or the markets will bounce back. There are hundreds of variables determining the short run and it is impossible to predict how each and every one of them will interact together to determine the direction of markets.<\/p>\n<blockquote><p>&nbsp;<\/p>\n<p><em><strong>So the key is not to look at each and every event\/news\/opinion as a reminder to take a decision!<\/strong><\/em><\/p><\/blockquote>\n<p>&nbsp;<\/p>\n<p>In fact, the last thing we want to do, is to go unprepared into a falling market trying to take daily decisions based on the evolving events.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>When it comes to decision making, less is more <\/strong>and hence we need to reduce the number of decisions to be taken. Most importantly we need to have a clear <strong>pre-decided plan <\/strong>on<strong> WHEN <\/strong>to take these <strong>decisions<\/strong>.<\/p>\n<p>&nbsp;<\/p>\n<p>I personally use a <strong>10% decision making trigger<\/strong> and have reduced my<strong> decision making points to less than five during a fall<\/strong>.<\/p>\n<p>&nbsp;<\/p>\n<p><img loading=\"lazy\" class=\" wp-image-20806 aligncenter\" src=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=299&amp;h=307\" sizes=\"(max-width: 299px) 85vw, 299px\" srcset=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=299&amp;h=307 299w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=598&amp;h=614 598w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=146&amp;h=150 146w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=292&amp;h=300 292w\" alt=\"boxes-2624231_960_720.jpg\" width=\"299\" height=\"307\" data-attachment-id=\"20806\" data-permalink=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/boxes-2624231_960_720\/\" data-orig-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=299&amp;h=307\" data-orig-size=\"701,720\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;Sinarback 54 M, Hasselblad&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"boxes-2624231_960_720\" data-image-description=\"\" data-medium-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=299&amp;h=307?w=292\" data-large-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/boxes-2624231_960_720.jpg?w=299&amp;h=307?w=701\" \/><\/p>\n<blockquote>\n<ul>\n<li>Market falls by 10%?<\/li>\n<li>Market falls by 20%?<\/li>\n<li>Market falls\u00a0 by 30%?<\/li>\n<li>Market falls by 40%?<\/li>\n<li>Market falls by 50%?<\/li>\n<\/ul>\n<\/blockquote>\n<p>&nbsp;<\/p>\n<p>You can either use a common benchmark such as Sensex\/Nifty or your own portfolio value for reference. For eg, if you are using Sensex as reference, the maximum value was 38,645 (on 31-Aug-18)<\/p>\n<p>&nbsp;<\/p>\n<p>So decisions will be taken at<\/p>\n<ol>\n<li><strong>10% fall ~ Sensex@35,000<\/strong><\/li>\n<li><strong>20% fall ~ Sensex@31,000<\/strong><\/li>\n<li><strong>30% fall ~ Sensex@27,000<\/strong><\/li>\n<li><strong>40% fall ~ Sensex@23,000<\/strong><\/li>\n<li><strong>50% fall ~ Sensex@19,500<\/strong><\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p>In this way, I don\u2019t need to look at the TV each and everyday trying to decide on what to do with my investments.<\/p>\n<h5><span class=\"ez-toc-section\" id=\"2Pre-load_your_decisions_with_a_what-if-market-falls_plan\"><\/span><strong>2.Pre-load your decisions with a what-if-market-falls plan<br \/>\n<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<blockquote><p><strong>When we are calm and relaxed, we turn out to be extremely bad in imagining how we will act during times of emotional strain (think fear, anger, hunger, exhaustion, thirst etc).<\/strong><\/p><\/blockquote>\n<p>Such an under-appreciation of how we behave during times of emotional strain is where the trouble actually starts.<\/p>\n<p><strong>How do you think you will behave if the market cracks by say 20%?<\/strong><\/p>\n<p><em>\u201cI will of course buy more!\u201d<\/em> thinks the overconfident self.<\/p>\n<p>But remember, this is you in your <strong>\u201ccool &amp; calm\u201d avatar<\/strong>!<\/p>\n<p>Your <strong><em>\u201cemotionally charged\u201d<\/em> avatar<\/strong> might have<strong> different plans<\/strong>.. and if you are like the rest of us it will <strong>panic <\/strong>and<strong> freeze<\/strong>!<\/p>\n<p>For more on this you can read my earlier post <a href=\"https:\/\/eightytwentyinvestor.com\/2017\/11\/26\/what-if-things-go-wrong-plan\/\" target=\"_blank\" rel=\"noopener\">here<\/a><\/p>\n<p><strong>How do we solve for this?<\/strong><\/p>\n<p>We have an unusual person providing us the solution \u2013 Our friendly Starbucks Barista!<\/p>\n<p>&nbsp;<\/p>\n<p><img loading=\"lazy\" class=\" wp-image-20799 aligncenter\" src=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=636&amp;h=423\" sizes=\"(max-width: 709px) 85vw, (max-width: 909px) 67vw, (max-width: 984px) 61vw, (max-width: 1362px) 45vw, 600px\" srcset=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=636&amp;h=423 636w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=150&amp;h=100 150w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=300&amp;h=200 300w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg 750w\" alt=\"980x.jpg\" width=\"636\" height=\"423\" data-attachment-id=\"20799\" data-permalink=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/980x\/\" data-orig-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=636&amp;h=423\" data-orig-size=\"750,500\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"980x\" data-image-description=\"\" data-medium-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=636&amp;h=423?w=300\" data-large-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/980x.jpg?w=636&amp;h=423?w=750\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>In 2007, when Starbucks was going through a massive expansion, <span id=\"hs_cos_wrapper_post_body\" class=\"hs_cos_wrapper hs_cos_wrapper_meta_field hs_cos_wrapper_type_rich_text\">the company was opening almost 7 new stores every day and hiring as many as 1500 employees each week. <\/span><\/p>\n<p>&nbsp;<\/p>\n<p>But this came with its own issues. The biggest amongst them was to train all the new employees to provide excellent customer service.<\/p>\n<p>&nbsp;<\/p>\n<p>Unfortunately for most of the employees Starbucks was their first job and they had never dealt with an angry customer before. While they obviously wanted to a good job, however as soon as they started facing angry customers, a lot of them panicked, some lost their cool and few even snapped back at the customer.<\/p>\n<p>&nbsp;<\/p>\n<p>Drawing on\u00a0behavioral science, Starbucks came up with a simple solution \u2013\u00a0<strong>the \u201cif-then\u201d strategy<\/strong>. They added an extra page at the end of every employee handbook which had lines like, <strong>\u201cIf a customer yells at me then I will ______\u201d.\u00a0<\/strong><\/p>\n<p>&nbsp;<\/p>\n<p>The employee would then write in advance what their response would be to this and other tough situations. It allowed employees to <strong>plan their response with a cool mindset, so they didn\u2019t need to decide under pressure and risk losing their self control.<\/strong><\/p>\n<p>They also provided the employees with a simple decision making framework to apply:<\/p>\n<p dir=\"ltr\"><strong>The Starbucks LATTE System\u00a0for\u00a0Customer Service<\/strong><\/p>\n<ol>\n<li><strong>L<\/strong>isten to the Customer<\/li>\n<li><strong>A<\/strong>cknowledge their complaint<\/li>\n<li><strong>T<\/strong>ake action by solving the problem<\/li>\n<li><strong>T<\/strong>hank them<\/li>\n<li><strong>E<\/strong>xplain why the problem occurred<\/li>\n<\/ol>\n<p>Now, instead of reacting with anger or panic,\u00a0Starbucks employees had a clear game plan to deal with stressful situations.<\/p>\n<p>&nbsp;<\/p>\n<p>Since the <strong>If-Then<\/strong> and the <strong>LATTE<\/strong> system was implemented, employee turnover had decreased, customer satisfaction was up and profits increased!<\/p>\n<p>In essence, we also face a similar problem in a bear market as we go into one completely unprepared without a plan and overestimating our ability to handle the stress and panic.<\/p>\n<p>So, let us apply the Starbucks technique to investing with our own \u201cIf-Then\u201d plan.<\/p>\n<ol>\n<li>If market falls by 10% then I will..<\/li>\n<li>If market falls by 20% then I will..<\/li>\n<li>If market falls by 30% then I will..<\/li>\n<li>If market falls by 40% then I will..<\/li>\n<li>If market falls by 50% then I will..<\/li>\n<\/ol>\n<p>Sounds extremely simple, but trust me, once you start thinking about this, you realize how difficult it is to decide even in normal times.<\/p>\n<p>&nbsp;<\/p>\n<p>If you have an advisor this is probably a great time to sit together and chart out a plan. If you don\u2019t have one, then make sure you write down your plan as it\u2019s extremely difficult to think clearly in the middle of a falling market.<\/p>\n<p>&nbsp;<\/p>\n<p>Also it serves as a <strong>reference to check how you thought you would behave during a fall (in your cool and calm avatar) vs how you actually behaved.<\/strong><\/p>\n<p>You can also check these two posts <a href=\"https:\/\/www.fool.com\/investing\/general\/2013\/08\/19\/what-i-plan-to-do-when-the-market-crashes.aspx\" target=\"_blank\" rel=\"noopener\">here<\/a> (from the super-smart Morgan Housel) and <a href=\"https:\/\/www.corporatemonkeycpa.com\/2018\/02\/17\/temporary-allocations-a-bear-market-can-be-your-friend\/\" target=\"_blank\" rel=\"noopener\">here<\/a> for getting a rough idea on how to build this plan.<\/p>\n<h5><span class=\"ez-toc-section\" id=\"3Identify_and_keep_a_track_of_experienced_investors\"><\/span><strong>3.Identify and keep a track of experienced investors<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>As humans we have a natural tendency to follow and conform with the crowd. You can read more about this <a href=\"https:\/\/eightytwentyinvestor.com\/2018\/04\/29\/the-when-in-doubt-follow-others-syndrome\/\">here<\/a><\/p>\n<p>Unfortunately, this tendency of <strong>social conformity<\/strong> is at its highest especially in situations of uncertainty.<\/p>\n<p align=\"left\">So in uncertain periods like a falling market, the easiest and fairly intuitive option is to look around and follow the crowd.<\/p>\n<p align=\"left\"><img loading=\"lazy\" class=\" wp-image-20803 aligncenter\" src=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=502&amp;h=283\" sizes=\"(max-width: 502px) 85vw, 502px\" srcset=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=502&amp;h=283 502w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=150&amp;h=84 150w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=300&amp;h=169 300w, https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg 760w\" alt=\"401-lg-2.jpg\" width=\"502\" height=\"283\" data-attachment-id=\"20803\" data-permalink=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/401-lg-2\/\" data-orig-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=502&amp;h=283\" data-orig-size=\"760,428\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;1&quot;}\" data-image-title=\"401-lg-2\" data-image-description=\"\" data-medium-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=502&amp;h=283?w=300\" data-large-file=\"https:\/\/eightytwentyinvestor.files.wordpress.com\/2018\/10\/401-lg-2.jpg?w=502&amp;h=283?w=760\" \/><\/p>\n<p align=\"left\">And unfortunately, as history has shown, the <strong>crowd usually panics at exactly the wrong time.<\/strong><\/p>\n<p align=\"left\">Now while the obvious solution is not to follow the crowd, it is far easier said than done. So instead of fighting this urge, we need to play along this urge.<\/p>\n<p align=\"left\">I would suggest finding a group of experienced investors or fellow investors to discuss during times of panic. If this sounds difficult, you can take advantage of the internet and identify your<strong> \u201cinvestors to track\u201d list<\/strong> and follow them closely for their views and interviews.<\/p>\n<p align=\"left\">Here are some people whom I personally track:<\/p>\n<ol>\n<li>Sankaran Naren \u2013 ICICI Prudential Mutual Fund<\/li>\n<li>Kenneth Andrade \u2013 Oldbridge Capital<\/li>\n<li>Rajeev Thakkar \u2013 Parag Parikh Mutual Fund<\/li>\n<li>Shyam Sekar \u2013 Ithought<\/li>\n<li>Kalpen Parekh \u2013 DSP Investment Managers<\/li>\n<li>Neelkanth Mishra \u2013 Credit Suisse<\/li>\n<\/ol>\n<p>Now, by no way am I suggesting that we should blindly follow them. The idea is to carefully evaluate their views (given their experience and maturity) and take our own decisions.<\/p>\n<p>Do let me know on what other strategies you use to stay sane during a market fall.<\/p>\n<p>As always, happy investing!<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>About the Author: Arun is a personal finance blogger at 80 \/ 20 Investor. Through his writings, he aims to simplify the complex world of investing with a focus on investor behaviour, asset allocation and fund selection. You can follow him on his blog or twitter The stock market is falling! What do I do? [&#8230;]<\/p>\n<p><a class=\"btn btn-secondary understrap-read-more-link\" href=\"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/\">Read More&#8230;<\/a><\/p>\n","protected":false},"author":7,"featured_media":2125,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false},"categories":[91],"tags":[11,90,96],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>3 ways to make sure this stock market correction is not wasted? - Kuvera<\/title>\n<meta name=\"description\" content=\"How to learn from this market correction and prepare for the next? Learn about 3 takeaways from guest blogger Arun to better prepare for future corrections.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"3 ways to make sure this stock market correction is not wasted? - Kuvera\" \/>\n<meta property=\"og:description\" content=\"How to learn from this market correction and prepare for the next? Learn about 3 takeaways from guest blogger Arun to better prepare for future corrections.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/\" \/>\n<meta property=\"og:site_name\" content=\"Kuvera\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/kuvera.in\" \/>\n<meta property=\"article:published_time\" content=\"2018-10-26T09:50:55+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2018-10-26T23:53:26+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2018\/10\/80-20-pic.png\" \/>\n\t<meta property=\"og:image:width\" content=\"783\" \/>\n\t<meta property=\"og:image:height\" content=\"380\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Guest Blogger\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Kuvera_In\" \/>\n<meta name=\"twitter:site\" content=\"@Kuvera_In\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Guest Blogger\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"7 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"3 ways to make sure this stock market correction is not wasted? - Kuvera","description":"How to learn from this market correction and prepare for the next? Learn about 3 takeaways from guest blogger Arun to better prepare for future corrections.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/","og_locale":"en_US","og_type":"article","og_title":"3 ways to make sure this stock market correction is not wasted? - Kuvera","og_description":"How to learn from this market correction and prepare for the next? Learn about 3 takeaways from guest blogger Arun to better prepare for future corrections.","og_url":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/","og_site_name":"Kuvera","article_publisher":"https:\/\/www.facebook.com\/kuvera.in","article_published_time":"2018-10-26T09:50:55+00:00","article_modified_time":"2018-10-26T23:53:26+00:00","og_image":[{"width":783,"height":380,"url":"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2018\/10\/80-20-pic.png","type":"image\/png"}],"author":"Guest Blogger","twitter_card":"summary_large_image","twitter_creator":"@Kuvera_In","twitter_site":"@Kuvera_In","twitter_misc":{"Written by":"Guest Blogger","Est. reading time":"7 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#article","isPartOf":{"@id":"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/"},"author":{"name":"Guest Blogger","@id":"https:\/\/kuvera.in\/blog\/#\/schema\/person\/3b7368367bae36c89b81169ff2e15f65"},"headline":"3 ways to make sure this stock market correction is not wasted?","datePublished":"2018-10-26T09:50:55+00:00","dateModified":"2018-10-26T23:53:26+00:00","mainEntityOfPage":{"@id":"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/"},"wordCount":1396,"commentCount":3,"publisher":{"@id":"https:\/\/kuvera.in\/blog\/#organization"},"keywords":["Investing","Investing discipline","Personal Finance"],"articleSection":["Investment Advisor"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/kuvera.in\/blog\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/","url":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/","name":"3 ways to make sure this stock market correction is not wasted? - Kuvera","isPartOf":{"@id":"https:\/\/kuvera.in\/blog\/#website"},"datePublished":"2018-10-26T09:50:55+00:00","dateModified":"2018-10-26T23:53:26+00:00","description":"How to learn from this market correction and prepare for the next? Learn about 3 takeaways from guest blogger Arun to better prepare for future corrections.","breadcrumb":{"@id":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/eightytwentyinvestor.com\/2018\/10\/17\/3-ways-to-make-sure-this-stock-market-correction-is-not-wasted\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/kuvera.in\/blog\/"},{"@type":"ListItem","position":2,"name":"3 ways to make sure this stock market correction is not wasted?"}]},{"@type":"WebSite","@id":"https:\/\/kuvera.in\/blog\/#website","url":"https:\/\/kuvera.in\/blog\/","name":"Kuvera","description":"Wealth Management, Simplified","publisher":{"@id":"https:\/\/kuvera.in\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/kuvera.in\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/kuvera.in\/blog\/#organization","name":"Kuvera","url":"https:\/\/kuvera.in\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/kuvera.in\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2022\/07\/cropped-cropped-kuvera-logo-dark-3.png","contentUrl":"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2022\/07\/cropped-cropped-kuvera-logo-dark-3.png","width":83,"height":13,"caption":"Kuvera"},"image":{"@id":"https:\/\/kuvera.in\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/kuvera.in","https:\/\/twitter.com\/Kuvera_In","https:\/\/www.instagram.com\/kuvera.in","https:\/\/www.linkedin.com\/company-beta\/10456535\/"]},{"@type":"Person","@id":"https:\/\/kuvera.in\/blog\/#\/schema\/person\/3b7368367bae36c89b81169ff2e15f65","name":"Guest Blogger","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/kuvera.in\/blog\/#\/schema\/person\/image\/","url":"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2019\/07\/guest-author-150x150.png","contentUrl":"https:\/\/kuvera.in\/blog\/wp-content\/uploads\/2019\/07\/guest-author-150x150.png","caption":"Guest Blogger"},"description":"At Kuvera, we invite the best industry experts, personal finance bloggers and thinkers to share their views with our investors. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official stand of Kuvera.","url":"https:\/\/kuvera.in\/blog\/author\/guest-blogger\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/posts\/2122"}],"collection":[{"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/comments?post=2122"}],"version-history":[{"count":3,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/posts\/2122\/revisions"}],"predecessor-version":[{"id":2127,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/posts\/2122\/revisions\/2127"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/media\/2125"}],"wp:attachment":[{"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/media?parent=2122"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/categories?post=2122"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/kuvera.in\/blog\/wp-json\/wp\/v2\/tags?post=2122"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}