First look at the funds held.
When the market falls, the first thing to do is not to consider whether to redeem it or not, and how long the market will fall. Instead, we should first examine our fund positions rationally to see if the current valuation of the funds we hold is within the normal range. If so, we don't need to worry too much, just keep holding it. You can even add positions appropriately.
Then look at the performance of the fund, compare it with similar funds, and compare it with the corresponding index to see if the performance of the fund fluctuates abnormally or falls with the mainstream of the market. If it is only affected by the market, you don't need to worry too much. If the performance is significantly lower than the index, you can just take this opportunity to adjust your position and replace it with a similar fund with stronger resilience and more stability.
Second, make up the position in time.
If the performance of the fund held is normal, but it is only affected by the market, a strict process of covering positions can be formulated at this time, which is disciplined. It does not mean that the fund will cover positions when it falls, and it will cover positions when it falls, and plans need to be made every time.
For example, if the market falls by five points, it will cover the position 10, then cover the position by five points, covering the position by 20%, and so on, or stipulate that the position should be covered at most once a month, and strictly control the funds and time interval of covering the position, so as to prevent the market from falling all the way, and also aim at having bullets when the market really reaches a low level.
Third, do a good job in psychological construction in the face of losses.
Greed and fear of human nature are the biggest stumbling blocks on the road to investment. Why in the long run, the market is rising, but few investors can insist on holding funds and making money? It is because most investors are used to chasing up and down, buying greedily when the market rises, and fearing to sell when the market falls. In the final analysis, investment is a war of resistance against human weakness. Whoever can always keep a rational attitude in the market and face the profit and loss of investment calmly will become the winner of the market.
The big shots in the investment field once said an interesting metaphor: the market is a voting machine in the short term, but it is indeed a weighing machine in the long term, which fully shows the importance of long-term investment, and short-term fluctuations in the market will not affect the normal operation of listed companies.