Fluctuations in your 401(k) or workplace retirement savings account can stir up negative emotions, making you want to hit the panic button. But in turbulent times, it's more important than ever to remain calm and stay on course toward your long-term retirement savings goals.
World events impact financial markets—sometimes significantly. But what, if anything, should retirement investors do in response? For those investors with a long-term perspective, the right answer may be to do nothing. In general, the biggest risk investors face over time is overreacting to events and market volatility. So, how can you manage your response to short-term noise? Here are some tips to help you keep calm and carry on.
A long-term perspective and diversified portfolio remain the best ways to take advantage of investment opportunities and hedge against risks, but staying the course is sometimes easier said than done. To ensure that your retirement portfolio is positioned to benefit from future market upswings, keep these tips in mind:
It's understandable to be anxious about how recent market fluctuations will impact your retirement goals. A financial advisor can help you feel more confident in your long-term investment strategy by reviewing your account and ensuring that your assets are well-diversified.
As a guest blogger, I'm unable to respond directly to comments posted below, but if you have any questions or would like to discuss your strategy, please don't hesitate to reach out to me directly at 978-808-8665 or ksmith@axialfg.com.