Archive · 28 Sep 2026
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.
Sunita, 45, from Kochi, paused her SIPs during a market decline.
She planned to restart investing once market conditions became clearer.
She resumed three years later, after the recovery had ended.
The article says fear can stop investments when continuing may be most beneficial.
It recommends SIP automation that continues unless an investor actively cancels it.
- Who
- Sunita, a 45-year-old from Kochi, and investors who stop SIPs during market declines.
- What
- Investors may pause their SIPs during market falls and miss continuing contributions during the subsequent recovery.
- When
- Sunita restarted three years after pausing, when the recovery was already over.
- Where
- Sunita is from Kochi.
- Why
- Fear and a desire for greater clarity led her to stop investing; the article recommends stronger automation to prevent this interruption.
- Investor
- Sunita
- Age
- 45
- Location
- Kochi
- Investment method
- SIPs
- Action during market fall
- Paused SIPs
- Time before restarting
- Three years
- Suggested approach
- SIPs continue unless actively cancelled