



Staying Focused on Long-Term Wealth Building Avoiding the Temptation to Time the Market, Especially During a Drawdown
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what is drawdown Informational
- Ensuring It Still Aligns with Your Current Goals and Circumstances
- Keeping Investment Costs Low to Maximize Net Returns
- Staying Grounded and Focused Focusing on the Things You Can Control, Such as Your Savings Rate, Asset Allocation, and Investment Expenses
- Avoiding Emotional Selling Based on Short-Term Price Movements Viewing Drawdown as an Opportunity to Buy Quality Assets at Lower Prices
- Robust Backtesting and Forward Testing Drawdown in Active Management vs. Passive Management
- Potential for Drawdowns During Range-Bound Markets
- Limiting Potential Drawdown in Options Drawdown in Portfolio Management
- Providing a Framework for Decision-Making Reviewing and Updating Your Investment Policy Statement Regularly
- Impact on Asset Valuations and Potential for Drawdown When Policies Change
- Measures of Market Turbulence Can Provide Warnings
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