SALT LAKE CITY — The stock market took a dip to start the month with tariffs against Mexico and Canada set to take effect. So how concerned should you be about your money?
Investors who watch their money closely had their eyes on Wall Street Monday.
“I’m getting close to retirement age, so I have a lot of money in there, and that’s my future,” said Debi Doss, who lives in North Salt Lake.
Doss says these can be scary times for those who have spent years, even decades, building up their portfolio.
An expert with Market Source Real Estate tells me the lack of stability can delay retirement or even force people out of it.
“I watched this actually happen to my uncle many years ago,” Doss said. “He lost a significant part of his money right before he was ready to retire and it was devastating to him.”
Financial advisor Gary Gygi says what we’re seeing currently is uncertainty caused by looming tariffs to be imposed on Mexico and Canada.
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“The market does very poorly when it doesn’t understand an outcome,” said Gygi, the president of Gygi Capital Management. “So, when you have a situation where investors are uncertain, then they sell. That is their go-to position.”
Doss tells me it’s crucial to have someone who has your back when you need it most financially.
“We do what she tells us to do, she’s brilliant,” said Doss about her financial advisor. “I have a whole projection of what my life will look like until I’m in my 90s.”
Gygi has 35 years of experience in this realm and says people should pause any panic they feel.
“Obviously this isn’t the first day I’ve seen like this,” Gygi said. “In every single instance, every market drop has recovered and gone higher.”
While the tariffs could have further impacts on the consumer down the road, Gygi says to talk with your advisor. This could even be a good time, he says, to keep contributing to your retirement accounts to accrue more shares of a given stock at a lower rate. He says you just have to make sure you’re using discretionary income — that is, money you don’t need for bills or other recurring expenses.
If you can’t, Doss says, “Just hold tight,” and wait for the market to rebound.
