Dow down 387 - still preaching calm and change

The Dow Jones Industrial Average fell a long way today dropping 387 points and we can all look forward to reading and hearing why in the coming hours. For me, I preach calm. Either you have developed an investment style and portfolio that allows you to rest easy and stay calm over major market hurdles or you are worried silly. If you are worried silly then I still preach calm...of a different sort. You should calmly transform your portfolio to one that does allow you to find peace in down markets. For the calm seekers:

• More cash - less leverage
• Industry (sector) diversification - not specialization
• Large companies paying dividends - not small caps paying nothing
• Index funds - not developing market funds
• Dow Utilities over Dow Industrials
• Time in the market - not timing the market

What would you add to the list to get through difficult markets? What gives you peace, when all around you seems to be behaving badly? Have you made changes or adjustments in your portfolio over the past few months? What were they? Time to share, because this market is going through some real growing pains and your experience and wisdom might help someone. Perhaps some milk and cookies might help.

Those of you who are new to BloggingStocks can check out my other stories and read Chasing Value or Serious Money to find more potential opportunities and verify my track record as well - INCLUDING ANY BAD CALLS.

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm.