Page 37 - Flathead Beacon // 10.28.15

FINANCIAL CORNER JESSE RIGLER
BEWARE OF SCARY INHABITANTS OF THE INVESTMENT WORLD
IN JUST A FEW DAYS, WITCHES, zombies and vampires will be con- verging on your house, asking for candy. As is the case every Halloween, you’ll likely be merely amused over the sight of these costumed characters. But in other areas of life, such as the invest- ment world, you may need to watch out for some seemingly scary entities. Here are a few of them:
• The Horrendous Headline – Big, glaring headlines rarely offer any com- fort to investors. Whether it’s political squabbles at home, conflicts in the Mid- dle East or the debt crisis in the Euro- zone, there’s always something hap- pening that’s perceived as jeopardiz- ing the stability of the financial mar- kets. Yet these threats are often over- blown, and the markets have proven quite resilient for decades. Here in the United States, the most powerful eco- nomic engine in the history of the world has offered investment opportunities as crises have come and gone.
• The Terrible Tipster – He or she could be anyone – your neighbor, friend or rel- ative. But whatever their origins, Terri- ble Tipsters have one thing in common: They like to tout “hot” stocks or “can’t miss” opportunities. The problem is that by the time you actually hear about a hot stock, it may already be cooling off. And the “can’t miss” opportunities often do indeed miss. Don’t waste time, effort – and money – seeking a shortcut to investment success: There isn’t one. Instead, stick with an investment strat- egy that’s suitable for your goals, risk tolerance and time horizon.
• The Scary Statement – When the mar- ket is down, you probably dread seeing your investment statements. But don’t let a few bad months, or even a bad year, cause you to stuff your money under your mattress. The financial markets can turn around pretty quickly, and if you’re out of the market when the next rally begins, you’ll miss out on some potentially big gains. So, put those neg- ative statements aside and look back at your investment results over a period of many years – the big picture might look a lot less frightening than you’d imagine.
• The Fearsome Forecast – The perfor- mance of the financial markets is noto- riously hard to predict – but that doesn’t stop a slew of fortune-tellers from try- ing. And the same is true of the econ- omy as a whole – predictions abound, but many of them prove far off base. You can always adjust your portfolio, as needed, in response to changing mar- ket or economic conditions, but don’t act on these possible circumstances just because someone, somewhere, has predicted them. Instead, follow tried- and-true principles such as diversifica- tion, which can help reduce the impact of volatility on your holdings. (How- ever, diversification can’t guarantee a profit or protect against loss.)
The ghouls and goblins you see on Hal- loween are unlikely to cause you night- mares. And the various phantoms of the investment world may prove just as illu- sory. Don’t let them scare you away from investing.
NOVEMBER
“THE GHOULS AND GOBLINS YOU SEE ON HALLOWEEN ARE UNLIKELY TO CAUSE YOU NIGHTMARES.”
Jesse Rigler is a financial advisor at Edward Jones in Kalispell.
COMFORT FOR LIFE
10 YEAR
PARTS & LABOR WARRANTEE!
A Pro Who Knows Indoor Comfort!
A Pro Who Knows
Your local Daikin brand dealer has all the tools needed to fiInndtdheobeosthrighC-effiociemncyf,eonergty-!savingDaikinbrand ductless heating and cooling system for you.
Your local Daikin brand dealer has all the tools needed to
find the best high-effi2ci9en4cy2,nedneArgvye-sWavNingKDalaiiskpinelblrand
ductless heating and co2o5lin7g-1s3ys4te1m|fowrwyowu.airworksmt. Our continuing commitment to quality products may mean a change in specifications without notice.
© 2014 DAIKIN NORTH AMERICA LLC· Houston, Texas · USA · www.daikincomfort.com
(Insert Dealer Info Here)
OCTOBER 28, 2015 // FLATHEADBEACON.COM
37