8 rules for managing your 401(k) in a recession:
- Don't chase recent performance.
- Don't try to time the market.
- Don't panic-sell your bonds.
- Don't panic-sell your stocks.
- Take advantage of employer matches on contributions.
- Revisit your risk tolerance and asset allocation.
- Don't be swayed by fancy investments.
Keep contributing to your 401(k)\n\n In light of a recession and record inflation, you may think it's okay to take a break on your 401(k) contributions. But that's rarely the best path to take. Not only will you miss out on compound interest, but you also won't benefit from any gains when the market recovers.