Investors question strategy after Dow hits 13,000 | Business

HALFMOON - Hearing that the Dow hit 13,000 was a welcome surprise to Eileen Williams.

"That's wonderful. Good news," the Ballston Spa resident said Tuesday, adding that the past few years of stock market ups and downs have been nerve-wracking.

"You get scared. You get nervous. You wonder whether you should be puling it out and putting it under your mattress," she said.

After breaking the 13,000 point barrier several times Tuesday, financial advisor Andy Guzzetti, who is managing director of DLG Wealth Management, says investors like Williams can start to feel some confidence in the market.

"Well, thinking about our clients, we love to see when they get their statements the month or the quarter it's up. Everybody's happy," Guzzetti said.

The markets were buoyed by strong corporate earnings reports and a deal on the Greek debt crisis.

Eileen's financial advisor said the average investor can consider taking a few risks as long as their portfolio stays balanced, with protections built in in case the market drops.

"With the Dow hitting 13,000, we're also cautioning our investors that they need to be careful and there are investments that can potentially go up when the stock market goes down," said Manny Choy, an advisor with DLG.

Williams has already seen an eight percent gain since the Dow hit lows in October. Even with the market up, she said she'll take a cautious approach going forward.

"I think eight percent in a conservative portfolio is great. Perhaps I should have been less conservative, but I'm happy with the eight percent," she said.

The Dow has gone up 20 percent since dipping to a recent low in October.