Hopkins Financial Advisor Urges Calm Amid Stock Market Storm

“Don’t panic.”

That’s the advice Ron Evans, co-owner of , has for investors spooked by the Dow’s biggest one-day drop since 2008.

True, the drop can have real effects on retirement accounts and other investments, he said. But investors should be able to weather the storm as long as they’ve matched their investment strategy to their retirement timeline—with conservative investments for those who plan to retire soon.

“If that’s where you’re at, then that’s where you should ride it out,” Evans said.

The takeaway?

• Don’t cash out your 401(k) or other retirement plan.
• Don’t put all your eggs in one basket.

Of course, Investments are just one reason for the worry over Thursday’s freefall. Wall Street is widely perceived to have been reacting to fears that an economic slowdown is intensifying.

But Evans doesn’t worry that this is a return to the crisis days of 2008. He noted that 72 percent of companies beat earnings estimates and that we haven’t seen the large layoffs that characterized the recession.

In fact, stocks initially rallied Friday following news that the U.S. economy generated 117,000 jobs in July instead of the expected 84,000. Yet the sell-off resumed by mid-afternoon.

“I’m not sure what drives Wall Street. Sometimes the wind blows and Wall Street moves a different direction than you’d expect,” he said. “If you’ve invested in the market, you’ve got to be patient.”