Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

36 of 40
BACK NEXT
Ignore short-term market swings
Christopher Browne
Chairman, Tweedy Browne

I was leaving the office at the end of Black Monday, the day of the '87 crash, and Joe Reilly, one of the founders of my firm, then probably 85 years old, was punching out some quotes. I said, "Quite a day, wasn't it, Joe?" "Yep." "Does it remind you of 1929?" "No," he said, perfectly cheerful. "Very different. There was no money in '29. Today there's still lots of it, a lot of bottom fishers. They have a way of putting nets under these stocks."

And of course, he was right. I realized that if this 85-year-old was not perturbed by the worst day in stock market history, there was no need for me to be. If you're comfortable with the stocks you own, if they're solid businesses and you haven't borrowed a lot to buy them, let the market do its worst. You don't have to do something dramatic just because the market had a bad day.

NEXT: Sell for the right reason

Last updated July 22 2008: 11:27 AM ET
More Galleries
Super Bowl 50 ads are studded with celebrities The 2016 Super Bowl has rolled out the red carpet for the likes of Helen Mirren, Amy Schumer, Seth Rogen, Steven Tyler and the late, great Marilyn Monroe. More
The women of marijuana These women entrepreneurs and executives are making their mark in the marijuana industry. More
Most expensive collector cars from the Scottsdale auctions These are the most expensive collector cars sold at the Scottsdale auctions. More

Special Offer