How To Become A Billionaire: Piece Of Advice From Warren Buffett
1. Don’t Panic When Markets Fall
When the markets fall, it might be upsetting, but don’t panic and sell your investments because of the recent news cycle. Markets will always be turbulent, and the best thing any investor, regardless of expertise, can do is have a clear head, according to Buffett.
“Though markets are generally rational, they occasionally do crazy things,” he wrote in his 2018 letter to shareholders.
Instead, maintain the course and have faith that you’ve invested in firms that will last. “An ability to both overlook mob fears or enthusiasms and focus on a few simple fundamentals,” Buffett remarked, is required for investors. “A willingness to appear unimaginative for an extended length of time — or even foolish — is also required.”
Simply said, “don’t watch the market closely,” Buffett advised CNBC in 2016 during a period of severe market oscillations.