◆ Don’t take a “time out” from investing. The financial markets regularly move up and down. During the down times, it’s important not to get so discouraged that you decide to take a “time out” from investing until “things get better.” No one can really predict when a downturn will end, but you don’t want to be on the investment sidelines when the market turns around - because the biggest gains can occur in the early stages of a rally. And in any case, if you’re not constantly investing, or at least exploring new investment opportunities, your portfolio could begin to stagnate - or even become “unbalanced,” in which case it may no longer fit your objectives or your risk tolerance.
By following the above suggestions, you can help keep your investments working for you this summer - as well as fall, winter and spring. The road toward achieving your financial goals is a long one - so try to keep moving.
Brian Humphrey is a financial consultant and investment advisor.