Video Length 00:18:19

Trump has just announced that a ban on travelers to the United States from Europe would be in place for the next 30 days, as the stock market enters a bear market. 

The stock market crash 2020 that many analysts were predicting will happen, is finally here. What does this mean for your investment portfolio? And what if you've never invested before? Is this the right time to get in?

In today's episode of the Invest Diva movement, I address the two types of panic that are going on right now; the coronavirus panic and the stock market crash panic... Even those who know a market drop is basically a stock market sales season sometimes can’t help but worry. So I’m going to address two types of people - Those who are already invested and their portfolio is down - Those who haven’t invested and are scared to get started now.

Today I'm looking at the Dow Jones Industrial Average (DIA) to give you some perspective about investment opportunities for long term investors during a market crash. If you're a type of investor who just bought stocks right at the peak of the market and before the crash, you may be in panic mode right now. But I'd like you to take a moment and take a look at what happened in 2008. If an investor had bought stocks at the then all-time-high, right before the crash, they probably felt the same way as you do right now. However, when you scroll back and watch what happened in only 2 years after the crash, you will feel a lot better about your portfolio. In fact, it may even inspire you to buy more stocks as the markets go down.

But how low can the markets go? What if you're just a beginner and don't know what to do? What if the market collapse continues for another year or so? Should you wait to buy stocks, or should you buy now?

So here's the thing. No one knows what is going to happen tomorrow. And if you're basing your investment decisions off "predictions" then you are a speculator.

How I'm Investing during the 2020 Market Crash?

If investing isn't your day job, then I'd recommend that you act as a value investor and manage your risk both ways. 

What does that mean? 

It means you want to manage the risk of missing out on low prices (in case the coronavirus cure is found tomorrow and the markets rebound immediately). But you also don't want to go all-in and invest all your money at a price that may not be optimal. 

So what I've been doing is buying my way down, and set buy limit orders at prices that historically have been proven to be strong support levels for long-term investing.