[kgwgk]

So you sell everything at a discount rate to buy everything else at a discount rate?

[orthecreedence]

Yay, diversification. They have stable investments they can draw from to purchase the now-insanely-discounted investments in the market, and come back in a much stronger position than before the crash.

So, no, you sell at a stable rate to buy at a discount rate.

[kgwgk]

What are those “stable investments”?

Investing is easy in hindsight, but the only “stable” asset is cash, and waiting for the entry point can be costly.

Exit: to be clear, I’m a huge diversification advocate. But each crisis (and each bull market) is different and rebalancing is not always helpful.

[orthecreedence]

Stable investments: stocks in profitable companies that pay dividends, rent from property ownership, bonds, etc.

[kgwgk]

Real estate was down in line with equities in the last crisis, so switching from one to the other was not selling a "stable" asset to buy a "discounted" one.