The stock market took a nosedive today, down more than sixteen hundred points.
This is the fallout from President Trump’s tariffs against practically all U.S. trading partners. With that huge drop, your 401(k) investments most definitely took a hit. But is that cause for concern? We spoke with a certified financial planner today about what you should or should not do when the market suddenly drops.
“Well, long-term investors should not be worried about this. You’re investing for the long term. I encourage our clients, long term, be thinking of at least five years before you even touch that investment. One of the things you can do is make sure that you have a diversified portfolio, that you own all types of stocks, large companies and midsize companies, small companies, that you own some bonds, that you’ve owned some international stock, because different companies will be affected differently by these tariffs.”
Maynard L. Keller Jr., President of American Financial Planning
These tariffs are not only worrisome for people on a personal level, they could be raising the risks of a global trade war.
