Somewhere in between the emotion of fear that investors felt just a few short months ago when the Dow Jones Industrial Average hovered around 18,500 and now as now as that same index sets records almost on a daily basis, there exists a time where investors can act in a rational manner, a place like now.
At this time, it is critical to make an intelligent evaluation of your financial picture, unencumbered by emotion, to determine the right course of action. Some steps you might want to take, not in any particular order, include.
Redefine your financial objectives. This should be done before and after you take an evaluation of your current financial position. A look before may include âperhaps we will have to work until age sixty-five rather than age sixty-twoâ or âperhaps we will not be able to pay off our home in twelve years, but rather it may take fifteen.â Redefining or reevaluating your financial objectives prior to determining your current position allows one to weigh the merits of that redefinition.