Investment and New Year
Many of you know about the "Santa Claus rally" or the New Year's Eve stock market rallies. This is the term used to describe a short-term surge in the price of individual stocks or indices in general, which occasionally occurs in December and January.
Holidays are traditionally perceived as a time of great expenditure on gifts, organization of festive events and other attributes. But the end of the year is also a time of extra profit. Employees of various companies are given bonuses, many people get cash gifts, take advantage of pre-holiday ways to earn: handmade, mass recruitment of delivery workers, "sober" drivers, gift wrappers, designers, etc. And in general there is a very enthusiastic mood in the society. Naturally, markets, including the stock market, actively use this phenomenon. Therefore, experts begin to predict the "Santa Claus rally" and to give out advice to investors in the fall.
New Year's sales, special offers - there are so many of these that it's really easy to get confused, make mistakes, and go negative.
So, here is what investors are recommended to do before the end of 2022 to survive the seasonal rush, regardless of the situation in the market:
• Reconsider the strategy. Over the past year, your financial goals may have changed. It's a good time to get a better sense of why you need capital and align your financial tools with your goals.
• Balance the losses. Balancing is the netting of investor's income and expenses.
• Rebalance your portfolio. This means controlling the risks and returns. For example, to buy more shares or stocks to even out the tools in your portfolio and reduce risks, as long as favorable purchase conditions persist. It is expedient to perform this step before the New Year's day in the project "Duyunov's motors" due to the transition to stage 18. The more so, the back office is now running the offer timed to coincide with this event.
Even if you are only a long-term investor and your strategy is outlined for 5 years ahead, it makes sense at the end of the year to draw up or adjust a plan of your immediate actions. Since in this period it is common to sum up and announce the results achieved, it will help you make the most effective and well-defined financial plan.
SOLARGROUP wishes you to celebrate the holidays surrounded exceptionally by people and projects you trust, and get as many reasons to be happy and cheerful as possible!