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2016 STARTS WITH A THUD & MEET BOB

By March 28, 2017 No Comments

Turn on the TV, check the internet, listen to the radio and I’d bet you’d hear the word Volatility.

Here is a fact though – volatility, economic downturns, and market corrections are nothing new and what is going on today is certainly not the worst we’ve ever seen.  So, what are we dealing with this time?  Today we are dealing with an un-stable Chinese market, a sinking Canadian dollar, and an energy sector meltdown (to point out a few).

Your behavior as an investor directly impacts your success as an investor. Volatility can be – let’s call it what it is – unsettling; causing various degrees of panic or fear for some. Remember this: Human nature is the greatest enemy to successful investing.

The market can provide tremendous opportunities for wealth creation but look out if you miss just a few of its best days. History has shown that a large portion of the market’s gains have come in concentrated periods – usually the ones that are the most unnerving! Stay Invested

What if you put your money in at the peaks of the market? Well, Meet Bob – he’s the world’s worst market timer and this is his story. Even with Bob’s bad luck, he was successful by not letting his emotions derail his long term goals. Stay invested… don’t play hopscotch jumping in and out.

For some, this is their first experience with volatility and for others 2008 still seems pretty fresh. What should you do? Stick with your plan. Don’t focus on the turbulence or what you think the market will do tomorrow. This round of volatility will pass just like the rest have… I just can’t tell you when!