Morgan Housel, author of 'The Psychology of Money,' offers guidance to investors concerned about market fluctuations.
The author of the popular book "The Psychology of Money" aims to alleviate investor concerns about market fluctuations.
According to Morgan Housel, author and behavioral finance expert, accepting the inevitability of a situation makes it easier to cope with when it happens, as he shared on CNBC's "ETF Edge" show.
One of the major themes in his new book "Same as Ever," published in November, is.
The Collaborative Fund partner Housel believes that a recession is not an "if" but a "when," and that being aware of this can help manage expectations.
The bear market spurs action due to fear, which leads to recovery," he stated. "Fear motivates the development of new technologies.
It is advised by him to investors to always have a plan for unexpected events as they can take the market by surprise.
Housel stated that the financial system is skilled at forecasting the economy and stock market trends, except for unexpected events.
Just as the market eventually stabilizes, even times of calm can also "sow the seeds for chaos."
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