The first thing investors should do during any market upheaval is sit down with their financial adviser to examine their investment goals, time horizon, risk tolerance and financial circumstances. Market declines may prompt you to re-examine your strategy, even though you might not want to make any moves. You might consider whether it's a good time to buy more shares of your mutual funds at lower prices depending on your personal situation. Keep a long-term perspective. If nothing has changed, then it may be a good idea not to alter your financial plan.
History shows that the market does recover, so have patience.
Ultimately, stock prices are tied to the underlying profits of companies. It's a good idea to spread your risks by investing in a carefully selected mix of mutual funds that invest in stocks, bonds and money market instruments. It's also wise to consider investing in an international or global fund. Although the U.S. stock market has impact around the world, other countries have tended to move in different economic and market cycles. Over the long term, international stock funds have often produced gains when U.S. markets were down.