(FinancialHealth.net) – The stock market had one of its worst openings Monday, since 2008. The volatility of the market has left many people wondering if their retirement funds are safe:
The New York Stock Exchange halted stock trading for 15 minutes after the S&P 500 fell 7% on Monday morning. Stocks plummeted as worries about the growing global coronavirus pandemic and an oil price race to the bottom weighed on global financial markets. https://t.co/2ELu5EJQvS
— CNN (@CNN) March 9, 2020
It’s natural to worry about what’s happening to your nest egg, but you don’t want to panic. Here are three actions you can take to protect your retirement:
- Don’t overreact to the fluctuations. Alliant Retirement Consulting Senior Vice President Aaron Pottichen says investors should “do what’s good for them” no matter what the market is doing. That often means staying the course if your plan is in order.
- Invest your money in the right place. For example, according to Yahoo Money, if you’re about to retire, 47% of your money should be invested in cash and bonds. The other 53% should be in stocks. Experts believe that you should make less risky investments the closer you are to retirement.
- Beware of shady financial advisors. Forefront Wealth Planning and Asset Management Managing Partner, Amit Chopra, warns these advisors may only be looking out for themselves and their commissions. It’s important that you research suggested investment opportunities on your own.
The market goes through ups and downs. It’s scary when it drops, but it usually rebounds. Right now, the fear about the coronavirus is hurting things a bit, but as of Monday afternoon the markets already started to correct themselves. You can’t control what happens on Wall Street, you can only make a plan and stick to it.
~Here’s to Your Financial Health!
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