The State of Limbo
John Stackhouse
Vice President of Wealth Management at Palmetto Citizens Federal Credit Union
If within the United States out of 50 to choose from (potentially 52, we are watching you California) not one of them is named Limbo. There are times where many things seem to end up in the State of Limbo. If you think about it, it is easy to get to. You do not have to do much of anything while you are there, almost like a vacation. You can stay there as long as you like. Sounds like an ideal place where indecision and complacency hang out and post to Facebook how great it is. Just like any vacation, there comes a time to get back to work and life.
There are times where we feel as if we are just visiting the State of Limbo. Waiting for some test results from the doctor. Wondering if a loan for your dream home will get approved. Wondering around the house aimlessly over the loss of a loved one. These are just periods of time and not at all the final destination for most. These times allow us to reflect, refresh, and regain our ability to move forward.
It is easy to look at a stock market that has risen and risen and not wonder if a change will come. The same would apply to a stock market that has been beaten down to lows not seen in years. You become fearful of buying, you become fearful of selling. You possibly take that trip to the State of Limbo and just freeze. Limbo has its place, but not at all in long-term investing strategies. If we are taking time to share with you some new allocation models and go over some different strategies, we are looking past the potential challenges and the risks of being in a State of Limbo.
We completely understand how standing still can feel like a good strategy. Over our history, standing still would have prevented us from discovering all the territory that encompasses the United States itself. The quote from John F. Kennedy is often referenced and rightfully so. “There are risks and costs to action. But they are far less than the long-range risks of comfortable inaction.
If you are feeling on edge about whatever uncertainties over financial matters, take time to talk about it with us. Let’s make or revise the plan, the goals, the objectives, the strategies. It is better than any trip to Limbo.