Your Risk Profile Is Revealed When Markets Fall

Sunita invested money regularly through SIPs.

When markets fell, she became worried and stopped her investments.

She planned to start again when things looked clearer.

But she waited three years.

By then, the market recovery had already happened.

The article says this shows that a person’s real risk behavior is revealed during difficult markets.

Fear can interrupt a long-term investment plan.

Automatic investing can help keep the plan running unless someone deliberately stops it.