Money Matters: Stock market on the rise, even in an economic downturn

Money Matters: Stock market on the rise, even in an economic downturn

COLUMBIA, S.C. (WIS) - The year 2020 has been full of the unexpected, especially for the stock market.

Josh Bradley, of Capital City Financial Partners, has some financial tips we’re sharing with you as part of a new, weekly segment called Money Matters.

Amid this pandemic, is it a good time to invest in the stock market?

“The stock market dropped almost by half earlier in the year due to the pandemic… and then we had a record recovery,” Bradley said. “No matter what the stock market is doing, a financial portfolio must be positioned according to each individual investor’s situation.”

So how do investors know what amount of their portfolio should be in “safe” investments?

“One of the easiest ways to map out the right investment strategy is to simply follow the Rule of 100,” Bradley said. “Take 100, minus your age, and that is the percentage of an investment portfolio that you can take a risk with.”

Bradley says determining your investment portfolio depends on multiple factors:

  1. Age
  2. Income Streams
  3. Investing Preference

What about “day trading?” Is that too risky for most investors?

“There’s always a small percentage of an investment portfolio that investors can ‘toy’ with," he said. "Maybe 5 or 10%, but the other 90% needs to be professionally managed to help secure a safe and enjoyable retirement.”

If there is something you would like us to discuss in our new Money Matters segment, send your request to countonwis@wistv.com.

Disclaimer: Investment Advisory Services offered through Integrated Advisors Networks (“IAN”), an SEC Registered Investment Advisor. Certain Representatives of Capital City Financial Partners are also registered with and offer securities through, APW Capital, Inc., Member FINRA/SIPC, 100 Enterprise Drive, Suite 504, Rockaway, NJ 07866, (800) 637-3211. Capital City Financial Partners is neither affiliated with or under common control of either APW Capital or Integrated Advisors Network.

Copyright 2020 WIS. All rights reserved.