Investing for the Long-term

Over the long term, stock prices should reflect how well a company is performing in its business. Over the short term, though, a stock's price can be affected by all sorts of market factors that may have little to do with a company's long-term prospects. Therefore, investing in stocks should be viewed as a long-term proposition.

When it comes to investing in stocks, most people want to "buy low and sell high." However, it's very difficult to tell when an investment is high-priced and ready for a fall, or low-priced and ready for a rise. This is another reason that investors should take a long-term view and avoid trying to time the market.

AARP Financial Inc. does not provide tax advice. Please consult a tax advisor for information pertaining to your particular situation.

The information and content provided herein is general in nature and is for informational purposes only. It is not intended, and should not be construed, as a specific recommendation, or legal, tax or investment advice, or a legal opinion. Individuals should contact their own professional tax or investment advisors or other professionals to help answer questions about specific situations or needs prior to taking any action plan based on this information.

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