Question: Which hurts your investment portfolio value the most?
- You own $10,000 worth of a mutual fund representing the Nasdaq Composite index. The Nasdaq Composite, which opened at 2,795, drops by 200 points by the time the market closes today. Headlines scream about a large market loss.
- You own $10,000 worth of stock in a company, which opened at $8.00/share and falls to $7.20/share by the time the market closes today.