Certified Financial Planner professional Howard Pressman, a partner with Egan Berger & Weiner LLC., had a college professor who made a big impact when he explained the four most dangerous words when it comes to planning for retirement: “This time it’s different.”
“As investors, it’s important to keep our eyes on our goals,” Pressman explains. “If your goals are one year away or two years away, you would be right to be concerned about what’s going on today. You also shouldn’t have money set aside for this goal invested in volatile investments. On the other hand, if your goals are 10 or more years away, don’t be intimidated by today’s “earth shattering” headlines, and don’t make long-term decisions based on short-term events. It’s really not that different at all—it’s just more recent.”
This segment originally appeared on Channel 8's Let's Talk Live program.