03/12/2025
I’ve been an advisor now for over 19 years and in that time I've experienced many world events that has caused concern especially in the investment world; but never in that time anything close to the whiplash we're all experiencing in the last several weeks....
Between what's happening in the world, Leaders of countries making rash decisions in a pi***ng match, Tariffs, no tariffs, bullying supposed "Allies" and what we hear in the media; It's hard to know what is true, real or even what is happening at this point.
There's a common theme with many of my conversations I'm having with clients; people are concerned, anxious, and even angry with what is going on with the current world events. It's understandable and I get how scary things are right now.
The uncertainty and noise in the media makes it hard to have confidence when investing in the markets. There's two mindsets that I tend to mainly see lately with investors.
1.) We have a huge opportunity for future growth, and they want to plug as much money as they can into their investments.
OR
2.) Take all my money out of the market before in goes down any further....
I'll give you my perspective as a professional Advisor as both of these options may be the right decision for you depending on what stage and situation you may be in life currently.
Pros: If you have the money to invest and have time to see this volatile market through, yes, this may be a huge opportunity to see future growth in your investments. Mutual Funds are essentially on a "Fire Sale". Which means you're getting in the market at a discount, and when the markets come back, and based on history, they will; the idea is your investments will increase that much more.
Cons: If you react too quickly and pull your money out while the market is down, you risk losing your money possibly on both ends. 1.) loss on pulling while already on the way down and 2.) loss on putting it back in when you start to notice the market starting to come back up. Which in the end those reactions may cause your investments to take a lot longer to recover from than if you had of just left your money in the markets . ...Now, if you don't have time, and for example you're in retirement or nearing retirement in the very near future, this could be a lot harder to weather this storm and will want to talk with an Advisor about conserving as much of your capital as possible.
NOW, your third option, is just to hold. Hold your money in whatever investments you currently have it in and ride this wave to see it through to the end of all this craziness. Yes, you may see your money take a dive, but if you can at least hold, you'll have the opportunity to see it come back in time...hopefully sooner than later.
I encourage you to take a deep breath, and continue to have patience and hope as we navigate the ups and downs during this difficult time. We will get through this together, don't give up!
I don't have a crystal ball and can't promise you anything, or even know the outcome of all this but I truly believe ~THIS TOO SHALL PASS.~
I'm here to listen to your concerns and answer any questions you may have around your financial planning needs. Don't hesitate to message me or reach out by phone. 506-333-8566
In the meantime:
1.) Understand what investments you own and the risk associated with it.
2.) Understand your time horizon and what will benefit you long term.
3.) Talk to your Advisor about your concerns and make decisions based on YOUR situation and needs.
4.) Understand your emotional behavior towards what's happening and be conscious of your health, both mental and physical. Less social media/news throughout the day and try and have more fun. Exercise, get outside for some fresh air now that the weather is starting to warm up, listen to music, or read some good fiction novels; all great medicine for the soul to get through this. ❤️
All the best,
Jill
