Despite sell-off, your 401(k) should be fine if you don’t mess with it

Rather than reflexively selling out of your stock holdings, take a step back and consider the following.

Revisit your goals: As long as you don’t bail from stocks, you aren’t locking in your losses. Think about your savings goals and the amount of time you have to reach them.

“If you’re investing for a one-year time horizon, then maybe the market isn’t right for you,” said Levine. “But even today, people need to be invested long-term.”

Resist the urge to act impulsively: It’s okay to be a little concerned about the market sell-off, just make sure you don’t act on your fears.

“We jump reflexively from the emotional to action,” said Daniel Crosby, president of Nocturne Capital. “Most people think we have to act in a way that is wholly consistent with our feelings.”

Buying on a discount: If you’re investing for the years ahead, a downturn might be a good time to snap up stocks while they’re cheaper.

“This is the best buying opportunity we’ve been given in quite a few months,” said Adams.

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