Maybe the last few days of investment market turmoil need to be put in the same category along with legislation and sausage – that you don’t to watch while it’s being made….
You investments will ultimately provide returns, but you probably did not need to watch as the stock markets slid last Thursday and again Friday, bounced around Monday and then shot back up on Tuesday
It may have been confusing or even scary. However, as you always hear us say, the key is sticking to your investment allocation and long-term strategy… that is what works over time.
Here is an interesting example of why investment allocation is so important.
* On Monday, many investments were down, but not all. There are funds we use that were up significantly on that day.
* The same funds were also up on Tuesday
In contrast, if you panicked and sold some time on Friday to sit in cash or gold, you missed the upswing of the last few days. Staying invested worked better than any timing attempts.
Therefore, diversification by asset class, and staying with your strategy, can provide positive results even in times of turmoil.
Let me know if you have questions or comments …. and good luck!