Weathering the Storm

Failing banks, mortgage foreclosures, and an erratic stock market may have you thinking about stashing retirement savings under the mattress.

Beds, though, aren’t the best place to keep money, even amidst 2008’s financial turbulence. Having substantial cash at home is vulnerable to theft and can be wiped out by fire, with no means of recovering the loss.

So what’s a scared baby boomer to do?

Remain calm, said Edward Jones financial advisor Tony Talbert, who’s spoken with lots of worried investors in the last few weeks. The stock market always recovers, even though all stocks have been taken down in value now, he said.

Individual investors bailed out of the market at a record rate in October, withdrawing $55.6 billion by mid-month, according to TrimTabs Investment Research. A recent Associated Press-Yahoo news poll showed seven in 10 of those surveyed were anxious that stocks and retirement investments are losing value.

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Tags: retirement, Savings

Category: Baby Boomers, Money/Finance