Downturn's Upside: Being Shocked Into Saving

January 4, 2010

As investors begin to regain their confidence in the market, financial advisers and mutual fund executives are beginning to map out changes in investor behavior and give the old rules some new twists. The scorched-earth mentality that permeated the investing world last year has all but disappeared, and the market rally has given investors much of their confidence back. But, as many predicted, investors of all ages have been unalterably changed. They have gained renewed respect for diversification, are grateful for even single-digit returns, and are only slowly moving back into stocks.

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