Why are only my shares falling? John Lee on days when opening your account feels frightening | Let’s Talk
- What to look for
- Distinguish selling because prices fell from selling after business competitiveness deteriorates. Consider how contributing workers differ from retirees withdrawing living expenses and where the video’s investing philosophy applies.
- Why it matters
- Identify investable money by first reviewing spending, pensions, debt and time horizons. Check holdings, concentration and withdrawal timing instead of relying on long holding periods or the ETF label alone.
Timeline
9 segmentsLee says investors facing long-standing losses should assess business deterioration rather than wait solely to recover their purchase price. He distinguishes choosing a different business from forecasting short-term market direction, then broadens the discussion to family financial habits. Long-term investing does not mean unconditional holding; allocations, diversification and spending dates still need review.
An independent exercise, not a statement by the video creator or verification of every claim in the video.
The same returns produce different outcomes when spending is withdrawn
Suppose KRW 100 million is invested and KRW 10 million is withdrawn for living expenses at each year-end. With a -20% return followed by +25%, KRW 80 million falls to KRW 70 million after the first withdrawal, and KRW 77.5 million remains after the second. Reversing the order to +25% and -20% leaves KRW 115 million after the first withdrawal and KRW 82 million after the second, a difference of KRW 4.5 million. Without withdrawals both orders finish at the original KRW 100 million, so retirees need to examine spending dates and which assets would fund withdrawals during declines, alongside long-term averages.
Check for yourself
- What is the annual spending shortfall after pensions and other income?
- Which assets would fund spending during a decline, and how would the allocation change?
- Has the withdrawal plan been recalculated for emergencies and inflation?
Limits of application
These are hypothetical two-year returns, not actual index or product performance or a suitable withdrawal rate. Withdrawals are at year-end and fixed in amount; taxes, fees, dividends and inflation are excluded. Holding cash does not eliminate every loss or establish one reserve period as suitable for everyone.