The debt ceiling deal has finally been reached, but the government drama is far from over. There will be plenty of uncertainty in the upcoming months. And while that could leave you anxious about your retirement savings, overhauling your portfolio likely isn’t the answer.
This week’s debt deal contains yet another deadline, and sets the stage for even more market volatility as we head into the new year.
As the news continues to unfold, financial planners recommend that savers, especially those with a decade or more left before retirement, try to tune out the noise and stick to their plan.
Selling your investments during a volatile time ultimately hurts your nest egg since you end up locking in losses, said Mark VandeVelde, an Auburn, Ind.-based financial planner who has heard from many nervous clients in recent weeks. “People are always leery of the squabbles of Washington and how it affects the markets,” he said. “My response to them is stay the course.”
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