Now that I’ve got your attention, this has been one of the most intense weeks in the markets that has ever been experienced by investors.

With that in mind, what do we do?

“Leverage your Sams Club and Costco free samples.”
-Mike P.

Ok, seriously, I’ve been asked by clients, ”should sell and cut our losses?” Occasionally that’s appropriate, however the reason we hold a mixture of conservative bond or income-oriented investments in addition to our equity or higher risk investments is for times like these.

The shock absorber in our portfolios (to the extent we need it individually) are our conservative holdings. Once we hit the hole in the road, it’s a little late to upgrade our suspension. We work with clients on an individual basis to make sure there is enough cushion that they can have peace of mind knowing their portfolio will be fine to make it through the market dip, which has occasionally lasted a few years historically. Also historically, those dips look like tiny blips as we look back on the overall tremendous market growth.

The most damaging moves are the emotional responses after values have already declined. By moving to cash after the markets have adjusted keeps the portfolio from coming back after it rebounds.

So, what’s the key? Knowing the financial needs you will be placing on your portfolio and ensuring there is enough shock absorber for the rough sections of your journey.

If you’d like talk, pick a time on the calendar here!

Here to help!

Mike Proctor