Equity Market performs on the wings of Earnings of the great companies and Interest rate cycles –

Stock holders of great companies go through from the pain of Volatility which doesn’t apply to FD holders.
But volatility isn’t Risk.

Our inability to distinguish between risk and volatility, temporary decline and permanent loss, keeps us away from wealth creation.

Wasting Time and Energy on economy outlook, market outlook, entry and exit, waiting for corrections is a trying for impossible.

You always win if you stay in the market.
Right time to buy in the market is when you have money and right time to sell is when you required money.

Stocks beat FD’s –
Within 5 years period, stocks beat FDs 70% of the time.
Within 10 years period, stocks beat FDs 90% of the time.
Within 20 years period, stocks beat FDs 100% of the time.

Don’t time the market, give time to the market.

Conclusion – Liquidating a long term portfolio because of short term noise is a very big mistake.

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