The key, experts say, is turning from the loss toward a plan of action and recovery rather than fear and inaction.
It's common for investors who have suffered a catastrophic financial loss to go through the five stages of grief: denial, anger, bargaining, depression and acceptance, says Kevin Heaton, founder of i3 Family Office and Private Asset Management in Lexington, South Carolina.
With clients who are dealing with a major investing loss, Heaton starts them thinking about how they got to the place of despair and then examining the "complex behavioral dynamics related to wealth while creating strategies for future resiliency.
