Market is at an all time high at 49K!! What to Do?



Quick Summary
When the market reaches an all-time high, it's natural to feel apprehensive and consider selling investments. However, historical data suggests that attempting to 'time the market' by selling and re-entering later can often lead to missed opportunities and higher entry points. Instead, focusing on long-term wealth creation and staying invested is generally a more prudent strategy.

Oh My God!! Did You see the Sensex? It has crossed 49k!! These are all time high levels. I am getting scared. Looks like I should redeem all my investments. Said Sameer, a 34 years Old IT Professional. Yes, it has crossed 49k. But what makes you scared? And Why Would you want to redeem? Asked Nir
Daily Limit Reached

You have reached your daily limit of 2 Free Articles

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Broadcasts
  • Daily E-Newsletter
  • Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits

Already a PRO member? Login here for an ad-free experience.

FAQ :

Investors may be tempted to sell when the market hits an all-time high due to fear that it will fall, hoping to buy back in at a lower price later.

An 'All-Time-High' refers to the absolute highest point the market has ever reached, whereas a 'Till-Date-High' acknowledges that markets tend to make higher tops and higher bottoms over time, suggesting current highs are simply the highest reached so far.

Historical examples show that when investors sold at perceived 'all-time highs' (e.g., in 2000, 2008, or 2014), the market often continued to rise, and subsequent falls still resulted in higher bottoms, forcing those who sold to re-enter at a more expensive price.

The recommended approach is to avoid the temptation to 'time the market' and instead stay invested for the long term, focusing on wealth creation rather than quick profits.

A trusted advisor can provide calm and clear explanations about market movements, helping investors make informed decisions based on their goals rather than succumbing to fear and anxiety driven by media or peer advice.




About the Author

Author, Mentor, Motivational Speaker, Wealth Planner

Prof. Saurabh Bajaj is an Author, Mentor, Wealth Planner and Motivaltional Speaker. He did his MBA from Narsee Monjee Institute of Management Studies (NMIMS) Mumbai, one of the top 10 management institutes in India. He also holds the prestigious FRM (Financial Risk Manager) degree awarded by Global Association of Risk ... Read more

Comments :

Related Articles


Loading


Popular Articles





CCI Pro

CCI Articles

submit article