Wall Street veteran on protecting your wealth when markets tumble

In turbulent markets, it's easy to panic or chase risky opportunities. Stephen 'Sarge' Guilfoyle, Contributor, TheStreet Pro explains how smart investors can ignore the noise and protect their portfolios when times are tough.

Related: The secret to making money when the market crashes

Full Video Transcript Below:

STEPHEN 'SARGE' GUILFOYLE: Well, you know, go back to the basics. It's what I always tell the folks is in times of uncertainty, narrow your book, have less positions, have a higher cash position. That's always that's always important. So that you can react when something happens, when an opportunity presents in a name. That you trust or a name you have some conviction in. So basically be flexible. Have target prices on everything you do. Do everything for a reason that you could explain to a child or to a novice. Don't take shots. No shot taking. 

If you if you do speculate, understand that. It's speculation. I mean, what I have done of late because I've been trading more than investing is the zero days to expiration options. You know, I don't really I don't generally like the idea that those exist, but I'm taking advantage of the fact that they do exist in this market as not usually early in the day, but usually late in the day. I'll try to grab something for a song if I feel that the market may move in that direction and see if I can make some hay before the end of the day. And that's not really speculation, but it's an educated, an educated guess based on what the market is doing. And it's done only with something. I can lose. It's not it's not gambling. So to say it's risking what is losable. It's not it's not betting the farm on anything.