Sometimes the Active Portfolio Decision is to Do Nothing

Original Air Date: August 6, 2011

Bil Lako, CFP®, explains how sometimes investors are not paying attention to the decisions that are being made. Sometimes an active portfolio decision often leads you to do nothing. That is the decision. When you see moves like Monday, down 5%; Tuesday, up 4%; Wednesday, down 4%, Thursday, up 5% you have to ask yourself, “Why?”  If you cannot answer, or do not understand what is causing it, your answer could be that you do not want to do anything differently. You have a plan, and you decide to stick to it.