The Nikkei Average fell sharply following the US midterm election results. Individual investors were surprised by the sharp reversal, and the topic of long-term, diversified investing for asset building was taken up again.
News that the Democratic Party had won a landslide victory in the US midterm elections spread caution across the market, and the Nikkei Average fell ¥3,643 on the 6th, recording the third-largest decline on record.
Individual investors expressed surprise at the sharp decline, while some voiced concern about its impact on investors, including young people using the Nippon Individual Savings Account (NISA) tax-exempt investment scheme.
The author, who has been involved in the market for many years, reiterated the importance of long-term, diversified investing as a basic approach to asset building.