Australians urged to stay invested amid market fears, avoiding cash moves that lock in losses.

Financial experts warn Australians to avoid panicking and moving to cash during market downturns, a common mistake that locks in losses and misses recoveries. With concerns about a 2026 market correction due to high valuations, political risks, and an AI bubble, experts stress that staying invested in diversified, long-term portfolios is key. Despite five down years in over 30 years, super funds have delivered strong returns, especially with consistent equity exposure. AMP’s Shane Oliver forecasts around 8% gains for shares in 2026, driven by expected rate cuts and policy shifts. Experts urge disciplined, long-term investing over emotional reactions to short-term volatility.