Olde Hornet
Well-Known Member
https://www.usatoday.com/story/mone...s-booming-what-should-investors-do/537462001/
Now stocks are at record highs, and the market is tranquil. It's easy to feel comfortable leaving your account on autopilot.
Don't get lulled into complacency. Stocks may have become an outsized portion of your portfolio following their terrific run.
And don't let the quiet times fool you: Wild swings are part of the market's DNA. Just ask investors who weren't paying attention a decade ago and let stocks build up in their 401(k) accounts as the S&P 500 set record after record, only to see the index get wiped in half by the Great Recession from late 2007 into 2009.
"Now is a good time to check" whether too much of your 401(k) is in stocks, said Jeanne Thompson, a senior vice president at Fidelity Investments. "You don't want to wait until the market tanks, because by that point, it's probably better to ride it out."
Now stocks are at record highs, and the market is tranquil. It's easy to feel comfortable leaving your account on autopilot.
Don't get lulled into complacency. Stocks may have become an outsized portion of your portfolio following their terrific run.
And don't let the quiet times fool you: Wild swings are part of the market's DNA. Just ask investors who weren't paying attention a decade ago and let stocks build up in their 401(k) accounts as the S&P 500 set record after record, only to see the index get wiped in half by the Great Recession from late 2007 into 2009.
"Now is a good time to check" whether too much of your 401(k) is in stocks, said Jeanne Thompson, a senior vice president at Fidelity Investments. "You don't want to wait until the market tanks, because by that point, it's probably better to ride it out."