Stock Market Volatility

Portfolio managers are challenged increasingly with volatility in the stock market.  Tried and true methods of buying and holding while the stock goes up remains a popular method of investment management.  However, given the internet and the overwhelming ability to gain access to market research, timely trades and online investing, it's a whole new market environment that forces many managers to finetune their gamesmanship.  Conservative mutual funds tend to invest in technology, energy, consumer discretionary and financials especially when the 200 day moving average line is in an upward slope.  To hedge any downside risk, many park it in defensive holds such as utilities, consumer staples and health care. 

For the individual, it's either invest in a mutual fund, hire a financial advisor and/or get an asset manager to grow your portfolio.  As the US savings rate declines, many individuals are relying on their company's 401k plans to help them with these decisions.  That lends to more risk should you be at a company similar to Enron regarding your life savings.  Fewer individuals take active interest in their financials because they are too busy to invest their time into understanding it all.

While gamesmanship and market volatility is a current issue for many, I admit that Mr. Market always comes back with a different story each day.  Question is how do you manage yourself as well as your finances given these environmental changes?