LUFKIN, TX (KTRE) -
Many people are wondering if it is a good
idea to continue investing in the stock market, and with concerns for
investment safety, the uncertainty of congress' fiscal cliff is daunting.
"All of these things create uncertainty
and unknown for in my world, the individual investors I work with, as far as
whether to continue to hold a stock they may have a gain or time to sell," "Chris
Moss, the vice president Advanced Financial Group, said. "Whatever the case may
be, it's just the unknown of the so-called fiscal cliff that contains lots of
concern for folks right now."
Congress has until the first of the year to
decide what they want to do with the fiscal cliff. If they decide to pass it, people
will face higher personal income taxes and higher tax rates on dividend income
and capital gains.
Brent Cheatam, a financial advisor, said
this is actually a good thing.
"If they pass the tax, keep the tax
cuts for those who make less than $250,000 a year, it's going to be good news
for the folks who have investments with us because it will keep them from paying
a different tax rate," Cheatham said.
The uncertainty of our financial future is
still a major concern for most people, and some are even putting their money in
certificate of bank deposits.
"People go running to safety when
there is an unknown out there," Moss said. "However, when those folks are
shopping those CD rates right now, we're essentially being penalized for
wanting safety and protection through guaranteeing some sort of protection
through FDIC."
Cheatam said the best option for investors
right now is to plan out a financial portfolio with an advisor.
"We can look at how their investments
are performing now," Cheatam said. "Also, we can re-balance their account to
make sure we are staying balance to where we are right now."
Copyright 2012 KTRE. All rights reserved.
