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Jul 26, 2021 at 11:37 answer added FrozenKiwi timeline score: 1
Jul 24, 2021 at 11:09 answer added Mason Wheeler timeline score: 1
Jul 23, 2021 at 3:49 answer added Not Tim Cook timeline score: 1
S Jul 22, 2021 at 23:26 history suggested Kyle Williamson CC BY-SA 4.0
fixed typo
Jul 22, 2021 at 20:50 review Suggested edits
S Jul 22, 2021 at 23:26
Jul 22, 2021 at 20:38 comment added Matija Nalis Actually, the worst case is that you stress so much about value of your portfolio rapidly falling due to external factors beyond your control, that you go into cardiac arrest and die (or worse).
Jul 22, 2021 at 19:58 comment added llama If you lost all, or the vast majority (95%+) of your investment in a mutual fund, you either got scammed and it wasn't a real mutual fund, or you probably have much bigger problems than how big a number in an account is (such as where to find food, water, and shelter).
Jul 22, 2021 at 16:22 answer added GeekInOhio timeline score: 7
Jul 22, 2021 at 15:44 answer added codeMonkey timeline score: 11
Jul 22, 2021 at 15:33 answer added Apfelsaft timeline score: 2
Jul 22, 2021 at 15:32 answer added user3067860 timeline score: 3
Jul 22, 2021 at 14:56 comment added ceejayoz @RobinSalih Yeah. More narrowly-focused funds might have more potential; I wouldn't want to own a solar/wind-focused mutual fund if desktop fusion got discovered.
Jul 22, 2021 at 14:55 comment added Robin Salih @ceejayoz Indeed, if a major index lost all it's value I think losing your investments would be the least of your worries.
Jul 22, 2021 at 14:12 comment added Barmar @alephzero Note that Bernie Madoff's company was not a mutual fund. He was a broker-dealer, managing money for individual investors. Mutual funds are much more heavily regulated, somewhat like the difference between privately-held and publically-traded corporation.
Jul 22, 2021 at 8:15 comment added alephzero The worst thing that can happen is that you discover the fund managers were fraudulent, and none of your money was invested in anything at all. See en.wikipedia.org/wiki/Bernie_Madoff for example.
Jul 22, 2021 at 5:58 answer added jamesqf timeline score: 5
Jul 22, 2021 at 4:01 vote accept Severus Snape
Jul 22, 2021 at 3:56 history edited Severus Snape CC BY-SA 4.0
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Jul 22, 2021 at 3:00 history tweeted twitter.com/StackFinance/status/1418043253874647040
Jul 22, 2021 at 0:23 history became hot network question
Jul 21, 2021 at 17:28 comment added Severus Snape Thanks @ceejayoz I have understood it now.
Jul 21, 2021 at 17:27 comment added ceejayoz @SeverusSnape If you put $100 in, and the fund loses half its value, you've lost $50 of your principal. (Probably a little bit more from fees, too.) It's possible for your principal to go to zero, but index funds protect you quite a bit from that; for all the stocks in the fund to go to zero, you'd be looking at a global economic armageddon.
Jul 21, 2021 at 17:24 answer added RonJohn timeline score: 67
Jul 21, 2021 at 17:22 history edited Severus Snape CC BY-SA 4.0
added screenshots to explain the situation better
Jul 21, 2021 at 16:41 comment added Severus Snape @BobBaerker yes, timing is everything. But that is not what I asked here. I am having trouble explaining as I don't speak English very well. Let me try again. So, we have an x-y graph. The x axis represents time. Y axis represents NAV. Say today the NAV is at 100. I invest starting today. It fluctuates during the 3 years of my investment time - sometimes higher than 150, sometimes lower than 95. And right before I finish the 3 year it was at 97. It is just an example. In that case, do I lose all of my principal amount (Rs. 100 x 36 months) or do I lose a part of it?
Jul 21, 2021 at 16:35 comment added Bob Baerker Look at some of the major indexes that represent your market. Perhaps the Nifty50 or SENSEX? When the financial markets were whacked last year, these were down about 25%. When they were clobbered during the 2008 global financial crisis, they were down 50+ percent. And since that clobbering, they are up 500-600%. Timing is everything.
Jul 21, 2021 at 16:28 comment added Severus Snape @BobBaerker thanks. About the worst case: do I lose the principal amount too? That is, what I invested? All of it?
Jul 21, 2021 at 16:28 answer added D Stanley timeline score: 5
Jul 21, 2021 at 16:27 comment added Bob Baerker The worst thing that can happen is that you lose money. The best thing is that you make money. How much either of those will be cannot be known.
Jul 21, 2021 at 16:26 review First posts
Jul 22, 2021 at 7:56
Jul 21, 2021 at 16:20 history asked Severus Snape CC BY-SA 4.0