Long-term investments okay after Stock Market woes, says Rapid City financial advisor
RAPID CITY, S.D. – Eyes were on Wall Street over the weekend after a group of day traders on the social media platform, Reddit, threw a wrench in some downward trending stocks.
The investors took aim at hedge funds, also known as limited partnerships, after certain funds tried to drive the price down for certain stocks like Game Stop, AMC Theaters, Blackberry, and more. Limited partnerships, while wealthier investors, are also made up of investment groups representing retirees.
According to Rick Kahler, President of Kahler Financial, the sudden market interruption should not be a cause for concern to your long-term investments and retirement plans.
“This is not going to destabilize the markets,” said Kahler. “This is not going to destabilize your investments. These are just a few little companies that have gotten the attention of the financial press, probably because it’s really unique in it’s language of punishing hedge funds.”
Kahler says the decision by certain brokerages, like Robinhood and TD Ameritrade, to limit trading late last week was out of an abundance of caution because of the sudden market swing and the move isn’t an uncommon one.