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Skyler has an emergency fund in place. And, Skyler’s employer just starting offering a 401K. Skyler started putting $100 per month into the 401k starting two months ago invested in a stock mutual fund. The account had $210 in it invested in the stock mutual fund and then the whole stock market dropped and now the account shows $140 value due to the value of the stock mutual fund dropping with the stock market. Skyler does not need any retirement money for 35 years.
What does Skyler do? One friend told her not to invest more right now as everything seems so uncertain? Skyler watched a financial news show and everybody seemed uncertain? One friend said keep investing as you can now buy stock cheaper as the stocks have fallen?
What do you think and why?
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