Retirement accounts suffer amid Wall Street woes

Posted September 17, 2008

— Investment advisers said Wednesday that people shouldn't panic over the ongoing instability in the stock market, especially people close to retirement who have seen part of their nest egg disappear.

Stuart Clark said he's concerned about his retirement savings and has started cutting back at home to save more in an effort to offset his losses. As he watched the stock market fall in recent days, he said he wasn't sure what to do.

"I thought, well, what could I do? Cash in some stocks?" Clark said.

Financial advisers urged people not to cash out now and to continue contributing to 401(k) accounts and IRAs with a diversified portfolio until the market bounces back.

"(That's the) same thing they said a few years ago – stick it out, it's going to get better – but I'm 60 now," Clark said. "The older you get, the more you worry. If I was 62 or 65, I'd really be concerned."

Clark said he really doesn't have the time to wait around for the rebound, but he hopes things will improve after the presidential election.

"I've watched, in my 30 years of working, at least three recessions," he said. "It always takes a year or two, but it always bounces back and it happened every time we had an election."

Still, he said he and his wife might have to start drawing down on their savings to pay the bills. They've already canceled a planned vacation to save money.

"We were lucky we had planned ahead, but you can plan ahead all you want (and) when the stock market falls, you lose money. You really do," he said.


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  • elfprincess Sep 18, 2008

    Had mine moved to Money Market accounts and kept the ones I have in bonds. Only thing that worries me is hearing that FDIC is now marginal....that makes me jumpy.

  • rc4nc Sep 18, 2008

    "GW & Company!" It never ceases to amaze me the extent to which some blame President Bush for everything. Read a bit on the current financial crisis. You will discover the truth behind the major current catalyst for the bad news. Home financing, the seeds of this one were also sown during the CLINTON administration. Not only does our current government live beyond it's means, but so do many individuals.

  • sarahbglenn Sep 18, 2008

    bs101fly, you should really stop dispensing ill-informed advice. Selling off in this market is the worst thing to do.

  • TheAdmiral Sep 18, 2008

    This is what happens when people feel that the market is going to do them right rather than see that the market isn't.

    So - are you going to retire?

  • bs101fly Sep 17, 2008

    You have NOT sold your retirement accounts yet???
    What are you waiting on???
    We'll drop another 500+ before Friday ends!
    It will take yearsssssss just to recoup the losses from this week ALONE!
    Thanks GW & Company!