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The presidential election is just a few weeks away. As an investor, how might you be
affected by the results?
Possibly not as much as you might think. Historically, the financial markets have done
well — and sometimes not so well — no matter who has controlled the White House and
Congress. Also, many campaign promises go unfulfilled, and those that are carried out
may lead to unexpected results.
Furthermore, other forces, such as the Federal Reserve’s ability to move interest rates,
can have a sizable impact on the investment world.
Instead of making changes to your investments based on election results, try to focus on
the things you can control. Most important, you’ll want to build your portfolio based on
your goals, risk tolerance, time horizon and need for liquidity. These factors may change
over time, and when they do, you may need to adjust your investment mix.
Ultimately, when it comes to investing, you may want to pay less attention to what
names are on the ballot and instead “vote” for the strategies that can help you reach
your long-term objectives.
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