“Massive market bloodbath: U.S. stock market sheds a staggering $5 trillion amid uncertainty” – The Economic Times
The year-to-date performance of a diversified “Growth with Income,”60/40, typical retiree’s portfolio as of 3/31/2025, according to the Morningstar Allocation Category average:
-.58%
So far, less blood and more “blah.”
Are we on the same page yet about the media’s role in helping us achieve our long-term financial goals?
This is why you don’t hear financial professionals OUTSIDE the media joining the drama, even though the market certainly could continue to be volatile, could continue to respond to headlines, but will eventually price in all the potential, proposed changes to the economy and continue to move ahead.
I had a lot of people ask me last month “are you getting a lot of phone calls from worried clients?”
I didn’t, and if I can’t personally take credit for that, I hope it is because they checked their accounts and saw that the most recent “bloodbath” must be taking place elsewhere.
Congratulations on keeping a cool head!
Here is an overview of the behaviors and attitudes that lead to unforced errors:
- Believing that you know something about the future that scores of business leaders, economists, and investment analysts do not
2. Attempting to time the market to chase performance or avoid decline
3. Losing patience and giving up due to a “get rich quick” mentality
4. Trying to outsmart the market by frequent trading or picking stocks
Not to mention what could be the biggest risk of all: NOT Investing in anything, and letting inflation and taxes erode your income and savings, sacrificing your dreams of lifelong financial freedom.
We don’t get a do-over on this.
The famed investor Charles Ellis compared successful investing to amateur tennis in his 1975 paper “The Loser’s Game.” He observed that tennis pros win points by skillful hits, but amateurs win by keeping the ball in play and not making unforced errors.
It is OK to be an amateur- you don’t have to imitate the pros to win. You have hired a coach so that you can improve your game!
The Morningstar Allocation Category Average is based on the average performance of funds within a specific allocation category and does not represent an investable index. Past performance of the category average is not indicative of future results.
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 and Retirement Plan Consulting Program services offered through LPL Financial, a Registered Investment Advisor. Member FINRA/SIPC. Investment Advice offered through Western Wealth Management LLC, a Registered Investment Advisor. Kennebec Wealth Management LLC and Westen Wealth Management LLA are separate entities from LPL Financial.