Every week seems to bring a new “crisis” that threatens to derail markets — elections, inflation, debt, geopolitics, or the latest “bubble.”
Clients understandably ask, “Should we be doing something?” The temptation to do something in response to every headline and market wobble is understandable. The financial news cycle practically begs us to play an endless game of Whack-a-Mole — reacting, anticipating, hedging, retreating, repeating. But that isn’t investing.
That’sanxiety management disguised as strategy.
As Nick Murray says, it’s not just that we can’t predict what happens next — it’s that nobody can. And, more importantly, it doesn’t matter to the long-term success of a disciplined investment plan.
Every market decline in history has flushed out the tourists — the speculators chasing quick wins.
Meanwhile, Real investors acting on their plan kept compounding through the volatility, quietly building wealth while fear drove others away.
We know sticking to a plan works because we’ve seen what doesn’t: trying to outguess markets, jumping to cash “until things are clearer,” or chasing performance. Those who try to avoid temporary losses often end up with permanent ones — selling low, missing recoveries, and losing faith just when discipline matters most.
As I asked in a video a few months ago: “Back in ____ (2000, 2008, 2018, 2020, 2022) when we had a decline, if you knew then what you know now, would you have done anything different?
Mercifully, whatever you did and what you learned will continue to apply to the next dip, and the one after that.
As Jamie Dimon put it, “You don’t invest for the next quarter — you invest for the next quarter century.”
What most people forget is that we’re not investing in “the market” or “the economy.” We’re investing in hundreds of companies solving problems, innovating, and adapting through every storm. There is no free lunch- short-term uncertainty is the price we pay for long-term returns.
Nick Murray calls this truth “an act of love” — being honest about what it really costs to be a successful investor: patience, perspective, and a steady hand when others are losing theirs.
So yes, the world feels messy. It always has. But history shows that every panic eventually passes, and those who stayed invested come out ahead.
The market has always rewarded patience and punished investors who try to dodge and dive and still get those handsome long term returns for free. Your plan already accounts for volatility; reacting to it only undermines the hard work you’ve undertaken to strive for financial success.
Stay the course. Keep investing in what works. Let others play Whack-a-Mole — we’ll keep building wealth.
Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results.
Securities offered through LPL Financial, Member FINRA/SIPC. Investment advice offered through Western Wealth Management LLC , a registered investment advisor. Western Wealth Management LLC and Kennebec Wealth Management LLC are separate entities from LPL Financial.