Worried the Middle East conflict may affect your savings? Stay focused on your future

You’re likely getting updates and photos about the Middle East conflict from the news and social media, and it’s normal to be concerned about its effect on you and your wallet. You see gas prices rising and the stock market bouncing up and down. It’s completely understandable if you're worried about your investments and feel an urge to sell, especially if you see a dip in value. But when it comes to retirement investments in particular, it’s important to look at the big picture and not make a hasty move now that could lead to regrets later.

Putting recent events in perspective

The past decade has brought significant market volatility, including the COVID-19 pandemic, the Russia-Ukraine war, and even the period leading up to the most recent U.S. presidential election. What do they all have in common? Their negative impact on the market didn’t last. In fact, significant dips in the market can be followed by big rises. It’s impossible to predict, but when you’re saving for retirement, you have one big luxury: time. Unless you’re planning to retire in the next few years, your investments will likely have time to recover before you need to start using the cash. And if your savings are spread among different types of investments, you might not be as affected by some of the drops in value.

Keeping a long-term lens

It’s difficult to separate emotion from investing, especially when you’re saving for something as personal as retirement. When unexpected events cause stock market values to fluctuate, it can be hard to ignore the impact on your retirement account balance. That’s why it’s important to remember that with long-term investments like retirement savings, it makes sense to ignore the short-term noise and give the economy and stock market time to settle down.

For complete information about a particular investment option, please read the fund prospectus. You should carefully consider the objectives, risks, charges, and expenses before investing. The prospectus contains this and other important information about the investment option and investment company. Please read the prospectus carefully before you invest or send money. Prospectus may only be available in English.