COLUMBUS, GA (WTVM) – When the stock market fell 1,000 points, then fell some more before jumping back by 600 points, it was enough to make even the most seasoned investor grip the safety bar of the Wall Street roller coaster with white knuckle anxiety.
But as we reported through the latest market drop and recovery, holding stocks for the long term has proven to be the smart strategy over time.
The stock market matters to everyone because even non-investors have company 401K's or maybe individual retirement accounts, IRAs, which are invested in stocks or bonds.
For employees lucky enough to have a company pension plan, that money is invested as well, so that when the time comes for you to collect your pension check, the check doesn't bounce!
What the stock market ups and downs really tell us is that we all need to be more financially literate.
According to the Council on Economic Education, high schools in Georgia require basic economics courses that include some personal finance instruction.
Alabama schools must offer those courses but they are not required. We think understanding personal finance is critical to everyone's success.
All students need to learn practical money management: how to create a budget, how to stick to it, how loans and credit work when it comes to buying a car or getting a mortgage.
Most importantly, young people need to understand the value of time to grow investments and how important it is to save money.
Because steady savings started at an early age can become a secure safety net for whatever the future brings.
General Manager Holly Steuart brings two editorials a week to WTVM. If you would like to respond to an editorial, e-mail your response to WTVM Editorial Committee or write to:
WTVM Editorial Committee
1909 Wynnton Road
Columbus, GA 31906