Financial advisors say stock market drop serves as stark reminder to get a proper retirement plan

Financial advisors say stock market drop serves as stark reminder to get a proper retirement plan

CHARLOTTE, N.C. (WBTV) - A Charlotte financial advisor says last week’s drop in the market should serve as a wake-up call to those who are investing without a proper plan.

Financial Advisor Joe Roseman with Retirement Capital Planners says the sharp drop in the U.S. marketplace shouldn’t be worrisome to those who are following a financial plan.

“If you have your assets allocated properly, then a day like last week shouldn’t matter at all,” Roseman said. “This is not unusual. With bird flu, swine flu, and all the different things that go on in our world that makes the market go up and down, you should never put yourself in a position where you have everything at risk.”

Roseman says if you are following an investment plan, even if you’re high risk investments were impacted by last week’s drop, it shouldn’t be too much cause for concern since you likely have other investments that are more secure. He says high risk funds are meant for the long-term.

“Some need to be really, really safe, some need to be guaranteed, and some need to take some risks so you can outpace inflation and grow overtime so that if you live a long time, you have plenty of money,” Roseman explained.

He says most plans will have your money dispersed into a variety of funds so that you don’t position yourself for loss when the market fluctuates.

“If you had all your money in the market last week, then you probably are going to panic,” Roseman said. “Then you might end up selling something that you didn’t need to sell. That’s why having a plan is so so, so important.”

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