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Local Investors Concerned About Fiscal Cliff

Posted at: 12/28/2012 7:03 PM
By: Brittany Lewis

(ABC 6 NEWS) -- Local investors are wondering how the Fiscal Cliff will affect them. The uncertainty is leaving many wondering if they should make some changes or just wait it out.

"Where to invest? How to invest? What is the best solution?,” asked Yuliya Antropora-Elder.

With just a few days until the Fiscal Cliff deadline, those are the questions on many investor’s minds.

"We do have clients that are calling with concerns,” said Amy Dunn, a Financial Advisor for Edward Jones.

For some clients, Dunn is making changes like adjusting risk tolerance—meaning how risky or not risky a client wants to be with things like aggressive stocks.

"If a client has too much risk, we'll reposition it,” said Dunn.

For many, the uncertainty, has left them reviewing their portfolios, but Dunn says most clients are just buying and holding for the long term.

"You don't want to make long term decisions on short term goals," she added. 

"The main concern I have is that I wouldn't like what I have to lose any value. Ideally, you want to gain,” said Bob Church.

Bob Church has made some changes to his investments over concerns with the struggling economy and Fiscal Cliff talks.

"All the money that I have for my retirement or the bulk of it, I've moved out of the funds that they were in, which were all stock market investments and I put in to essentially a cash fund which pays maybe 2% a year,” said Church.

Others are being cautious, waiting to see how it all plays out.

"Certainly we cannot make any future plans, like traveling luxurious or vacation time,” said Antropora-Elder.

But amid all this uncertainty, Dunn says some things are certain.

"Johnson and Johnson is not going fall off the cliff. We're still going to put band aids on our bumped knees. So we have to remember that we will still exist even after the fiscal cliff. It'll be nice to remove the uncertainty though."

And certainly, the Fiscal Cliff weighing on investor’s minds.

If you were thinking of investing, now might be a good time. Dunn says stocks are cheap right now and even though it doesn’t feel right, it’s better to invest when everyone is being cautious.