3. Download now what you might need tomorrow.
Don’t assume that personal data and records that are online – starting with bank or brokerage statements, for example – will be there when you most need them. Periodically download personal records and store them someplace safe.
4. Follow your stop-loss levels.
If you own shares, you need to have in mind a stop-loss for every stock you own. Just as important, if a stock you hold hits your stop-loss level (the lowest price at which you’re willing to sell to limit your losses if a stock falls), sell. You can’t make money by investing if you don’t have money to invest. A stock that’s down 50 percent has to double before you get back to breakeven. How often have you invested in a stock that’s doubled? Probably not often enough to count on it. It’s much better to have a stop loss level that’s (say) 25 percent below where you bought the stock (and raise the actual stop-loss level as the share price rises) than to be out of the game.
5. Hold gold and/or silver.
I’ve talked a lot about gold and silver… about how they’re good insurance, and are uncorrelated to other assets, and how they’re now a good investment. As we showed here, gold and silver move up when the world is brimming with uncertainty. Gold and silver will rise when the world is on the edge of a cliff.
Even if you don’t know what the next crisis is going to be, you can do your best to be ready for it.
*In his masterpiece Anna Karenina, 19th century Russian author Leo Tolstoy wrote, “All happy families are alike; each unhappy family is unhappy in its own way.” This means that in order to be happy, a family has to be in sync with each other in many ways. But failing to achieve this in any way – and there are lots and lots of ways – results in unhappiness. (The Anna Karenina principle describes something where one thing being wrong dooms the entire effort to failure.)