If you have to take out of an account for down payment on a house or car or child college tuition, remember that you took it out, and when you're at a point you can put it back in, you'll want to catch yourself back up. |
If you're in your 20s, hooray if you're already thinking about retirement. Your diversification can tilt a little more toward aggressive investments. However, if you're a Baby Boomer you have to be more conscious of volatility because you have a shorter time period. |
You want a mutual fund investment to be a long-term investment and gain the advantage of compounding over time. |