Ok, so you just checked your 401(k) and it doesn’t look good. Actually, it looks pretty terrible. But don’t worry, you’re not alone.

With the bond market experiencing one of its worst years in history and the S&P 500 falling over 24% since January, most U.S. investors are feeling the pain. And as predictions of an impending recession—or “something worse”—continue to flood in from Wall Street, even the most seasoned investors are battening down the hatches. With this in mind, Fortune reached out to a few top wealth managers for some tips on how to best navigate these treacherous markets and preserve the value of your 401(k).

“Keep calm and invest on”
The first mistake most people make when they see big losses in their retirement accounts is rushing to sell. Everyone has heard the old adage, “buy low, sell high,” but in practice, it can be easier said than done. “While financial advisors everywhere preach about ‘buying low and selling high,’ investor emotions will tempt opposite behavior,” Kimberly Nelson, an advisor at the wealth management firm Coastal Bridge Advisors, told Fortune. “The urge to do something to stem the carnage in your retirement account during a market pullback, recession, or full-on bear market can be hard to ignore.”

Nelson believes that investors should avoid offloading their 401(k) holdings at this point because stocks are already down over 24% this year, and timing market entries and exits can be a challenge. “Usually taking action after the market has fallen does very little to protect your nest egg,” Nelson said. “Coming out of the market means that you have to be right about the exit point and right again about your re-entry point—market timing is almost always a fool’s errand and not the right strategy to build long-term wealth.”

The chartered financial analyst, who has worked as a financial advisor for nearly two decades, had a simple tip for people who are worried about their 401(k)s: “Keep calm and invest on!”

“[K]eeping the right perspective and taking the right kinds of action can help ease investor emotions on this rough ride,” she said. “Don’t worry about the day-to-day fluctuation of your portfolio—keep your long-term goals in mind and understand that time and time again, the market has proven its ability to rise from the ashes (and beyond) over time.”

Nelson argued that investors, and particularly younger investors, should focus on finding quality stocks at reasonable prices as the market falls, instead of selling to try and prevent further losses. “I believe that buying today is a better time than eight months ago, and if you are a long-term investor, buying quality names at today’s prices and continuing to add to your portfolio each month could set you on the path to a very successful future,” she said.

Avoid obsessively checking your account balance
It can be hard not to look at your 401(k) when your account balance seems to shrink every day, but the experts argue checking your balance too frequently can lead to bad decision-making. “In my opinion, there is no value in looking at your account on a daily basis,” Coastal Bridge Advisors’ Nelson told Fortune. “I don’t even think you should watch it even on a weekly or monthly basis. Long-term assets should be reviewed once a quarter at most. Watching your 401K decline each day the market swings lower can make you more susceptible to emotional decisions you are trying to avoid.”

Kimberly Nelson’s comments excerpted from full article, “So, you just checked your 401(k). Here’s how experts say you should navigate the nightmare” by Fortune.com writer, Will Daniel, October 8, 2022. Read the full article here. 

Past performance is not indicative of future results. All opinions expressed in this post are for general informational purposes and constitute the judgment of the author(s) as of the date of the report. These opinions are subject to change without notice and are not intended to provide specific advice or recommendations for any individual or on any specific security. Coastal Bridge Advisors does not provide tax, legal or accounting advice, and nothing contained in this post should be taken as such.

Disclosure: This material by Coastal Bridge Advisors is for informational purposes only and is presented solely as an illustration of the typical advisor experience. Coastal Bridge Advisors does not provide tax or legal advice, and nothing contained in these materials should be taken as tax or legal advice. Unique client experiences and past performance do not guarantee future results.