How do you guy cope with it? after the loss, how do u manage your finance?
Sure, it's happened. During the Global Financial Crisis (2008-2009 especially), there was a tremendous amount of red ink popping up when I looked at my financial statements.
I didn't do very much except to keep doing what I was doing (saving regularly from work-related earnings), and I also made some special/exceptional/additional one-time purchases of the same well diversified investments.
What would you do if your local grocery store decides to sell the laundry detergent that you like and regularly use at half price? Stock up, of course -- buy some more. Fund investments don't spoil due to age, and they don't take up any space in your closet. So if they're genuinely on sale, available at deep discount, the sensible thing to do is to stock up. Just like laundry detergent or anything else that's on sale at your grocery store for the lowest price you've ever seen and ever expect to see.
I know Singaporeans understand grocery store logic. I've seen it! So why do so many people struggle with the same basic concept when they go shopping in the investment store? When something is genuinely on sale, stock up -- same thing. And that's really how you deal with your head, too. Just relate it to what's more familiar in your everyday life (like laundry detergent at your supermarket) but substantially the same phenomenon.
During the Global Financial Crisis there was some crazy stuff going on, and (with the upper parts of the brain applied), it really was understandable as crazy. Large financial institutions were doing everything they possibly could to shift into cash and cash equivalents, in just a few of the world's global currencies. Currencies like Swiss francs, U.S. dollars, euro, yen, and British pounds, as notable examples. Practically everything else was on fire sale. It was really quite amazing to behold.
I only had a couple concerns. One was job loss, but that's always a concern (or should be), and I always try to be at least reasonably prepared for that. The second was just double checking that I had/have clear title to assets, with well regulated markets that have strong investor protections, and with good personal record keeping practices.
