Mutual Funds Terry: Depends on your age
Hi Terry, how are you doing? We, my wife and I, are in our 60’s, we have, had, approximately, $100,000 in mutual funds which have taken a big hit. Should we just ride this out? Sell at a loss and invest in something else? Thanks for your thoughts.
Terry Says
You’re young – relatively — but it is painful to see losses at any age! I hope you have some other money outside your mutual fund investments. Are you still contributing to those funds? Are they in retirement accounts? I’d need more details about your situation before I could make any recommendation.
The one thing I will say is that I think the market will move lower and may stay low for longer than most people expect. So you should have some extra cash on the sidelines, just to sell well. Maybe 20% of your total should be in a MM fund at this stage of your life.
