Stay in the market and ride out the storm, investors are being urged.
Consumers worried about their equity holdings are being reminded that poise, patience and perspective are the key ingredients for successful stock market investment.
According to Kate Warne, a market strategist at Edward Jones, investors should not rush to sell off their shares during the financial crisis. Instead they should consider the long term performance of the stock market and adjust their investment strategy to suit the current climate.
She said investors should remain "poised" and confident, sticking to their long-term plans and staying invested. They should also be "patient" and remember that attempts to stabilise the markets will take time to work through.
Finally, they should keep some "perspective" and bear in mind that quality investments will rebound over time as they have done following previous downturns.
Indeed, she said investors who have kept hold of their shares during volatile periods in the past have generally earned attractive long-term returns. And she added that falling share prices can allow investors to pick up some bargains on quality shares.
This morning, the FTSE 100 fell around 1.5 percent on opening. This follows a 1.5 percent drop on Wednesday as early gains were wiped out amid concern about the economic situation across the Atlantic.
