Sign in for Premium Content
If you are a client, sign in below to access premium content.
After a tumultuous week with many ups and downs, markets regained ground to close in the black. For the week, the S&P 500 gained 0.91%, the Dow grew 1.11%, and the NASDAQ added 2.60%.1
It’s hard to watch your portfolio value fluctuate, especially when the money involved represents a lifetime of hard work and a comfortable future. If you’re at or nearing retirement, you might be feeling especially emotional about market movements.
Right now, U.S. markets are experiencing a period of significant volatility with rapid selloffs followed by powerful rallies. High stock valuations and concerns about global economic growth are contributing to the swings in investor sentiment.
During volatile times it’s very easy to get spooked and start questioning the logic behind your portfolio strategies. While it may seem tempting to pull out of the market and wait out the volatility, making investment decisions based on fear is usually the worst thing you can do. Behavioral economists have found that people feel the effect of market losses more than twice as powerfully as market gains.2 Losses hurt.
However, we can’t have the possible gains without the losses. It’s the nature of markets to move up and down, sometimes very rapidly. Trying to time markets is extremely difficult, and you’re unlikely to get the result you want by jumping in and out of markets.
So, what can you do when markets swing?
Use your head, not your gut. It’s natural to feel emotional about your hard-earned money. However, making emotional investing decisions can be very costly because you’re likely to buy and sell at the wrong time, potentially locking in your losses and losing out on gains.
Take a step back. We know that it’s hard to tune out the noise when media headlines scream that the sky is falling. Even when you know intellectually that pullbacks are normal, it’s natural to worry about whether this time is different. However, we recommend that you focus on the big questions:
- Have your goals changed?
- Has your investment timeframe changed?
- Are your investments still in line with your goals?
Talk to us. If you’re worried about how recent market movements may affect your personal situation, we want to hear from you. Before making any decisions, give us a call to discuss your personal situation.
— On a more personal note —
I’m sure you have noticed that almost every one of my weekly market updates has an inspirational quote from Dr. Wayne Dyer. I have read of all his works, and attending dozens of his seminars over the years. I also had the great fortune to spend quality time last year, as he was my guest to see Pippin.
It is with great sadness that Dr. Wayne Dyer passed away this past Sunday.
He also wrote countless books on living an ‘enlighten’ life, and he lived one himself.
Dr Dyer, sending you love and light!!!
INVESTING RISK DISCLOSURE
Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or lose money. Before investing, consider the funds’ investment objectives, risks, charges, and expenses. Contact Mahoney Asset Management for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
IMPORTANT CONSUMER INFORMATION
This web site has been prepared solely for informational purposes. It is not an offer to buy or sell any security; nor is it a solicitation of an offer to buy or sell any security.This site and the opinions and information therein are based on sources which we believe to be dependable, but we can not guarantee the accuracy of such information.
Representatives of a broker-dealer or investment adviser may only conduct business in a state if the representatives and the broker-dealer or investment adviser they represent: (a) satisfy the qualification requirements of, and are approved to do business by, the state; or (b) are excluded or exempted from the state’s licenser requirements.
An investor may obtain information concerning a broker-dealer, an investment advisor, or a representative of a broker-dealer or an investment advisor, including their licenser status and disciplinary history, by contacting the investor’s state securities law administrator.
The financial calculator results shown represent analysis and estimates based on the assumptions you have provided, but they do not reflect all relevant elements of your personal situation. The actual effects of your financial decisions may vary significantly from these estimates–so these estimates should not be regarded as predictions, advice, or recommendations. Mahoney Asset Managment does not provide legal or tax advice. Be sure to consult with your own tax and legal advisors before taking any action that would have tax consequences.
SECURITIES: ARE NOT FDIC-INSURED/ARE NOT BANK-GUARANTEED/MAY LOSE VALUE
This information is intended for use only by residents of CA, CT, DC, FL,, MA, MD, MN, NC, NJ, NY, OH, PA, and VA. Ken Mahoney may only conduct securities business with residents of the states and/or jurisdiction for which they are properly registered.
Securities offered through Newbridge Securities Corporation, member FINRA, SIPC.
Investment Advisory services through NFSG Corporation an SEC Registered Investment Advisor.
Office of Supervisory Jurisdiction: 1200 N. Federal Hwy., Ste. 400, Boca Raton, FL 33432. Phone 954.334.3450 Fax 954.489.2390
Specific recommendations can only be based on review of a number of suitability factors including but not limited to the investors financial profile, investment objectives, risk tolerance and the investors review of appropriate offering documents. Past performance is no guarantee of future results. To help you make informed decisions, we provide you with essential disclosures, such as Regulation Best Interest (Reg BI), the Client Relationship Summary (CRS), and Form ADV. Linked sites are strictly provided as a courtesy. Newbridge Securities, Inc. does not guarantee, approve nor endorse the information or products available at the sites, nor do links indicate any association with or endorsement of the linked sites by Newbridge Securities.
