As mmmrk responded, you need to settle on a risk profile.It is not all or nothing.
You should assume the "market" will go down 50% at any given time, and ask yourself how that would effect you. You need how much to keep in "safe" assets, such as quality bonds and/or cash.
If you are retired and your assets drop in half, will you be ok ? If not, reduce equity exposure until you reach a point where you will be ok.
I aim to own my house outright, and have no more than 50% in equities. That's me, that's my risk tolerance. If the market goes down by 50%, I am still fine, from a financial perspective. So I would not feel the need to sell in a panic. If I had a large mortgage, all stock, I would probably panic.
Owning a business, imo, is much riskier. You can go out of business and also end up in debt. Imagine if you owned a bunch of restaurants right now.
Again, what is the alternative ? Managed futures, minimum volatilty, small cap, factors, oil rigs, private equity - none of these have shown to work when the st hits the fan. Maybe gold.
You should assume the "market" will go down 50% at any given time, and ask yourself how that would effect you. You need how much to keep in "safe" assets, such as quality bonds and/or cash.
If you are retired and your assets drop in half, will you be ok ? If not, reduce equity exposure until you reach a point where you will be ok.
I aim to own my house outright, and have no more than 50% in equities. That's me, that's my risk tolerance. If the market goes down by 50%, I am still fine, from a financial perspective. So I would not feel the need to sell in a panic. If I had a large mortgage, all stock, I would probably panic.
Owning a business, imo, is much riskier. You can go out of business and also end up in debt. Imagine if you owned a bunch of restaurants right now.
Again, what is the alternative ? Managed futures, minimum volatilty, small cap, factors, oil rigs, private equity - none of these have shown to work when the st hits the fan. Maybe gold.