How are you prepared for the next major stock market move?
The stock market is down a little from the all-time highs that we saw earlier this year. Some people are wondering when the next major market correction or crash might occur. The Federal Reserve has stated on a number of occasions that they will likely be raising interest rates. When interest rates rise, then bond values can fall.
So what is an investor supposed to do with the potential for falling stock prices and potential for decreasing bond values? Many people feel that the “old way” of having 60% invested in stocks and 40% in bonds is outdated and might not be the best way to have their money moving forward.
This is where financial planning with a professional can be important. Some people still want to have a majority of their portfolio in stocks and bonds, while others feel it could be time to diversify into different investments and asset classes. There are some options in which your investments could gain in value while not being subjected to stock market volatility. There are newer financial strategies and financial investments that might be a better fit for certain situations.
With my “Financial Results in Advance Planning” that my firm offers, me and my team will look at your entire financial picture and goals. We’ll perform a “stress test” on your current investments to see what’s performing to your standards, and where some simple changes could have a big impact.
The best time to think about the next 5 to 10 years for your financial plan might be right now. I encourage you to do it before the next major market event happen, which could be at anytime.
401k, IRA, 403b, annuity, savings
Mike Riedmiller Wealth Management