Is the sky falling?!

Do me a favour and take a look outside. What do you see in the sky? There’s a good chance that you see the sun (if you’re reading this at night I encourage you to be a good sport and play along).

Now, will you be shocked when the sun sets tonight and equally blown away when it rises again tomorrow? No, of course not. You are fully aware that the sun rises and sets as part of a regular cycle.

The financial market is a lot like the sun, it also moves in cycles. However, unlike the sun, its cycle is a little more difficult to predict. We know that the market will rise and fall, we just don’t know when or how

In recent days, there has been some turbulence in the financial markets, likely reacting to recent interest rate increases among other things

Is this just a short term blip in the market? Maybe.

Is this the beginning of a major market correction? Maybe.

Will things even out and be totally forgotten by everyone in 13 days? Maybe.

The point I’m trying to make is that no one knows for sure what will happen next, nobody has a crystal ball. The market will fluctuate, this is to be expected!

It is crucial that these fluctuations don’t alter the investment plan that you have put into place. The last thing an investor should do is make an emotional decision while experiencing part of the market cycle

“It’s hard to see the whole picture when you’re in the frame” – Les brown

If anything, these times can be great to reassess your investment blueprint. This will either reinforce what you have in place or will be a good opportunity to readjust. If you’re truly uneasy about a couple of rocky days, then it may be a sign that you’re too aggressive in your portfolio

It’s boring to hear, but at the end of the day, you want to stick to your plan and follow your blueprint. The only thing you really need to worry about is if you have the right blueprint!

#letshaveaconversation