how to protect retirement assets during bear markets

Selling stocks for tax loss harvesting.

-Will

Diversify.

Unless you are able to reliably predict when the bear will start and end, in which case you're way ahead of me, you need a strategy that will work in both bear and bull markets.

In general, you need to diversify your holdings amongst major asset types that do not move together. Which types, and what kind of allocation, really depends on details of your financial situation, your risk tolerance, and needs.

Spending less than your income is also important. That helps you to weather the storms that will arise from time to time.

--ron

Every bear market in US history has ended. When it was over, there were two widespread regrets:

1. Those who sold during the bear market regret it.
2. Those who did not buy during the bear market regret it.

-HW "Skip" Weldon Columbia, SC

Hello all, I'm a relatively newbie to investing and really don't know anything much. I can, however vouch for the above statements. I took advantage of this most recent stock market adjustment on a microscopic scale. I had a little bit of cash reserves in my IRA and bought into a well performing fund right after the down adjustment. Before the month was out, this fund was back to normal and is now giving the best returns of any fund in my portfolio. If you look at the bear market times in the late 20th century, and talk to those who held their investments instead of selling them off, most of them tell you they are making a bundle on those investments now. Its about long term. Bear and Bull will happen, but as long as the economy doesn't completely crash, investments will almost always provide some kind of positive return. But hey, again, I'm new to all this. But thanks for your time. B

The start and end dates of bull and bear markets can only be determined with hindsight.

Besides diversification, which is the most important way to avoid unaffordable losses, option strategies such as buying puts can be considered, but the costs of doing so must be carefully considered. Some research says a protective put strategy did well from Jan 1995 to Dec 2004 (see

Currently utilities (switched from pipelines last week) and cash daily interest savings at 4% (Canadian eh) ... with about 10% for stocks of the day (e.g. bce). And it'll be back to pipelines at some point down the road.