The Dow Jones Industrial Average closed at a record high Tuesday.
This is the first time the Dow has surpassed records set in 2007, prior to the great recession market crash of 2008 and 2009.
Investors who lost huge portions of their 401ks or other portfolios should have more money today than they did prior to the stock market crash.
"We finally get an opportunity to take a deep breath and say, we're at all time highs and that's amazing when you think about where we were four years ago," said Edward Jones Financial Advisor Chance Stoeser.
The all time lows seen in March 2009 were enough to scare many investors of the stock market and into more secure CD's and savings accounts. Many who left the market are still trying to make up their losses while investors who stayed through the ups and downs of the market have now seen their money double since 2009.
However, now that they've recovered their losses and the stock market is once again booming, many people are asking if now is a time to sell out or stay?
Stoeser gives this advice:
- Investors should look toward their long term goals, such as retirement or college savings instead of reacting to the short term ups and downs of the market.
- Today's high market means it's a good time to meet with your financial advisor to rebalance your investment portfolio and eliminate some of the risks.
Even though today's record highs are a good sign of economic recovery, it's also important to note that not all stocks are operating at record highs so there's still a need to make smart, cautious investment.
