Ease Your Financial Worries with “Thriving in Turbulent Times”
October 8, 2015
Our white papers at Summit Place are designed to highlight financial topics important to clients and visitors. We consistently update our website with content that we hope is visually appealing, accessible and relevant to your financial lives. Because of recent market disruptions and fears that may grasp investors, Thriving in Turbulent Times is our latest topic highlighted in our white papers. Corrections can be uncomfortable for investors so we wanted to shed light on how history shows us that while doing nothing is the best approach for a portfolio, there are few other steps to ease investors’ discomfort. We broke the topic into four parts to ease the mind of those checking their portfolio performance too frequently: review your market history, focus on the fundamentals, take advantage of tax management opportunities, and do nothing.
This past summer has reminded investors how uncertain markets can be as the indices have dropped and recovered multiple times throughout August and September. Major media programs make things even more uncomfortable by telling investors that the markets are in turmoil and will possibly become worse. So it’s easy to understand why investors may fear for their long-term financial well-being. But the media oftentimes has to make things more exciting and newsworthy than they may actually be. The truth is that equity markets regularly have painful corrections even when the future is bright.
Many investors report that they worry more about the downside losses in their portfolio more than the upside gains. These fears often come bursting out during market corrections even as they know that investing in the stock market requires a long-term commitment. Some investors often feel they have to do something when markets are gyrating. If you are such an investor, download our whitepaper to help you make the commitment you need to grow your savings and fund long term goals. There is risk in any market investment, and you can always lose money. However, market volatility alone is not usually the reason investors lose money in the long-term; it is by buying and selling in fear rather than confidence. By sticking to your thoughtful disciplined investment strategy throughout turbulent times, your investments can still reach all your goals with a long enough time horizon.
To view Thriving in Turbulent Times and review our past white papers, visit our Learning Center.