Invest or Exit? Thoughts from CSA Insure

Posted on | April 10, 2009 | No Comments

by Laine Schoneberger of Campbell, Schoneberger & Assoc., Ltd.

Laine Schoneberger

In current market conditions, investors should be turning their focus toward opportunity.  Exiting the market at this point can effectively eliminate any chance of making back losses.  On the other hand a strategic re-allocation of investments can prove beneficial while also potentially lowering risk and exposure.  Now is a good time to consider strategies like dollar cost averaging back into the market, not out.

Investors should review their IRAs which have taken losses (that can’t be deducted).  Now may be a great time to re-characterize an IRA and move the assets to a tax free approach vs. tax deferred.  This analysis should be done by your financial advisor and/or your CPA.

If you have left an employer and still have money in the retirement plan, now is a good time to go get it, consolidate it into a rollover IRA and consider the strategy above, particularly if you are between jobs and your 2009 income may be lower than normal.

Laine Schoneberger
www.csainsure.com
Campbell, Schoneberger & Assoc., Ltd.
CSA Insure, CSA Wealth
2145 E. Warner Rd. 103
Tempe, AZ 85284
480-967-7535

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