Don't panic: Financial advisors say hold, maybe buy stocks

Monday morning's wildly up-and-down stock market may have spread fear among investors, but financial advisors are warning their clients not to make rash decisions.

Michael Kanigher, a managing director and private wealth advisor at UBS in Los Angeles, advised patience and a broader perspective on the U.S. economy.

"Sometimes, a lot of this is just short-term noise," he said. "In the long term, the market's going to recover and going to move higher. The economy's doing well."

Many advisors said they've told clients to focus on a strategy that works for years, not days or weeks. People should remember that they ideally made their asset allocations and financial decisions in calmer times.

“Everyone who invests should have a plan," said Alan Whitman, managing director in Morgan Stanley's Pasadena office. "As long as you hold true to your plan, you should be fine."

In fact, Monday's volatility could be a buying opportunity.

"If you look at where the markets will be five to 10 years from now, they'll be significantly higher than they are today, so take advantage of it," said Chris Hardt, financial advisor at Edward Jones.

For retirees and those close to retirement, several advisers recommended putting a little bit of money into the stock market if they can afford it since that investment could give a good return over time.

Whitman also said retirees likely bought stock with dividends, and that many companies have raised those year after year, through both good and bad times, making for a steady income stream.

"Those are the reasons you have to go slowly, hold the line,” he said.

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