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Is it possible to lose all of our investments, including our life savings, in the stock market?

Is it possible to lose all of our investments, including our life savings, in the stock market?
Your savings is typically kept in a bank - that’s what most people do. A bank is not the stock market and bankers are not traders or employed by investment companies, but by banks.

Savings accounts are insured by the FDIC to $250,000 per depositor, per insured bank, per account ownership category. If the bank goes under, the FDIC will step in and cover your losses to the limit described.

It is possible to lose all investments, if one makes bad decisions or bad choices. Markets do crash and correct - that’s normal. Those who sell in a panic run a risk of losing money invested.

Some chase higher returns and take on unnecessary risk. While stocks are somewhat easier to analyze and predict as are bonds, other investments like Bitcoin are difficult to understand and predict. Stick with tried and true companies like JnJ, P&G, Clorox, Walmart, Target, et al. The blue chip companies that have existed for dozens of years or more. They probably won’t disappear.

In summary, investments can be lost in extreme circumstances or it poor decisions are made.

Savings at a bank are very safe.
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