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Stock impact report

U.S. Retirement Savers Stayed Calm While Stock Markets Plunged [Yahoo! Finance News]

Morningstar, Inc. (MORN) 
) -- Americans saving for retirement weren’t panicking last quarter even as markets crashed and their 401k) nest eggs deflated.Only 5.6% of people enrolled in a 401k) plan changed their portfolio allocations in the first three months of 2020, according to a Morningstar Inc. analysis of more than 635,000 participants.Retirement savers’ lack of activity will be good news to experts who worry about individual investors selling at the worst possible time -- by locking in losses after markets have already dropped.“Assuming you’re in a risk-appropriate, well-diversified portfolio the best approach is probably to hang tight,” David Blanchett, head of retirement research at Morningstar Investment Management, wrote in the report. “There is a significant amount of research noting that 401k) participants, and investors in general, are not very good at building their own portfolios or timing the stock market.”At one point last month, the had plunged 31% year-to-date. Stocks have rebounded strong Show less Read more
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