Avoiding Complacency


Are you a complacent investor? If you’re not sure how to answer that question, read on.

A recent article in Bloomberg Business quoted Bill Gross saying, “The bull market ‘supercycle’ for stocks and bonds is approaching its end, as the unconventional monetary policies that have kept it alive since the financial crisis are running out.”

What does this mean for investors everywhere? It means you need to act. Pull out your latest statements from your 401K, IRA, Roth IRA and other brokerage accounts. Total the value of all accounts. Check your investments and total all your exposure to the stock market. Most statements show holdings divided by stocks, bonds and cash. What $ value or what percentage is in the stock market? In the Bond Market? Then ask yourself this: if you had 100% in the stock market, how would you feel if you lost 30% of that? And could you buy stocks if they decline?

So what does complacency have to do with all of this? Now is a time you simply cannot afford to be complacent. Period.

For more on the Bloomberg article, go here. And to talk about next steps, call or email us.


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