The latest government shutdown that began on Oct. 1 may reasonably raise stress levels for many Americans. But that doesn’t mean it’s a good time to make money moves like changes to your investment portfolio or major revisions to your long-term financial plan.
“It’s common for people to second-guess their financial decisions when uncertainty arises, but reacting out of fear often causes more harm than good,” Brent Schutte, chief investment officer at Northwestern Mutual, says. “While the current shutdown could likely lead to market volatility, investors can take comfort in knowing that the market has recovered from previous government shutdowns over the long term.”
Whether your fears are related to the shutdown or other more personal stressors, it’s a good idea to wait until your emotions are more regulated to make big money decisions, says Aja Evans, a financial therapist.
“If you are feeling super anxious, if you’re having a really hard time, if you’re just like, ‘What’s going on? I am unraveling.’ Do not move your money at all,” she says.
Here’s what she suggests instead.
