Given some of the challenges of today’s markets and economy, many people are left confused and nervous about what it all means for them. To help sort through all the noise, we recently held a webcast with Schwab Chief Investment Strategist Liz Ann Sonders on weathering difficult markets and economic environments and how people should be approaching their investment philosophy and strategy. The webcast was broadcast live to more than 2,000 people online and in 115 Schwab branches around the country.

You can watch the archived webcast on our website, and here are three takeaways from the discussion with Liz Ann:

1. There are some bright spots including relatively healthy corporate earnings reports, manufacturing businesses slowly bringing jobs back to the U.S., and a belief that the American entrepreneurial spirit will continue to thrive.

2. As Liz Ann has discussed for some time now, the current recovery looks a lot like a square root sign, with the decline and recovery followed by a period of slow growth. It is still our take that the U.S. will avoid a “double-dip” recession.

3. Tried and true investing strategies still prevail. While Liz Ann acknowledged that investing is not easy, especially in a period like the one we are in now, having a long-term plan that focuses on diversification, asset allocation, and being aware of your risk tolerance (in up and down markets) are the keys to successful investing. We believe that for the vast majority of investors, getting in and out of the market is not a sound investment strategy. In fact, it’s gambling on a moment in time.

For more market, economic and investing insights from Liz Ann and the rest of the Schwab Center for Financial Research team, visit Market Insight on schwab.com.

---

Important Disclosures

The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.
 

---