The Government Shutdown – What’s An Investment Advisor to Do?
- No one knows if this shutdown will be long-term or short-term.
- Only parts of the government have been shuttered and, when they reopen, many of the negative effects may go away.
- Outside events continue to affect the markets. For instance, Wednesday’s weak labor market report and the possibility of a default on government debt are bad news for stocks.
- My clients invest in the stock market for the long term and the shutdown may not have long-term consequences.
Occasionally, outside events do mandate a change in investment allocations. I’m not convinced that the federal shutdown is one of those events. The best strategy for a portfolio manager may be to do nothing at all.
This presentation is for educational purposes only. To learn more about the topics mentioned and if they are suitable for you, consult an appropriate professional before implementing. Tax laws can change at any time.
Any information provided in this presentation has been prepared from sources believed to be reliable, but is not guaranteed and is not a complete summary or statement of all available data necessary for making an investment decision. Any information provided is for information purposes only and does not constitute a recommendation.
- Past performance is no guarantee of future performance;
- Investments involve the risk of loss of principal and earnings;
- ETFs, mutual funds, including money market funds, etc. are not guaranteed in any way by the US Government, the FDIC, a bank or anyone else.
- "Average annual return" evens out variations in the actual year-to-year returns.
- ETFs, mutual funds and individual stocks and bonds fluctuate in value and there will always be times when they lose value.
- None of the information provided by Arthur Stein is necessarily relevant to anyone's particular situation. Situations differ among individuals and you should not assume that these generalizations or information apply to you.
- Investments mentioned may not be suitable for all investors.
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