3 Tips for Surviving a Market Sell-Off

January 25, 2023 Beginner
Market sell-offs can be scary, and volatility is inevitable, but don't panic. Watch to learn three ways to navigate a market sell-off.
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This material is intended for informational purposes only and should not be considered a personalized recommendation or investment advice. Investors should review investment strategies for their own particular situations before making any investment decisions.

Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.

Futures and futures options trading involves substantial risk and is not suitable for all investors. Please read the Risk Disclosure for Futures and Options prior to trading futures products. Futures accounts are not protected by SIPC. Futures and futures options trading services provided by Charles Schwab Futures and Forex LLC. Trading privileges subject to review and approval. Not all clients will qualify.

Options carry a high level of risk and are not suitable for all investors. Certain requirements must be met to trade options through Schwab. Please read the options disclosure document titled Characteristics and Risks of Standardized Options. Supporting documentation for any claims or statistical information is available upon request.

Investing involves risks, including loss of principal. Hedging and protective strategies generally involve additional costs and do not assure a profit or guarantee against loss.

With long options, investors may lose 100% of funds invested.

The fund's long positions can decline in value at the same time the value of the short stock increases, thereby increasing the potential for loss. The potential loss associated with short positions is much greater than the original value of the securities sold. The use of borrowing and short sales may cause the fund to have higher expenses than those of equity funds that do not use such techniques.

Diversification and asset allocation strategies do not ensure a profit and cannot protect against losses in a declining market.

Investing involves risks, including the loss of principal invested.

Schwab does not recommend the use of technical analysis as a sole means of investment research.