A Long Term Opportunity in Disguise

If the headlines have you gripping your coffee cup a little tighter these days, you aren’t alone. Market volatility often sparks panic and captures investors’ focus. But step back, and you'll see; these downturns are not obstacles, they are opportunities. The disciplined, long-term investor knows this isn’t a time to retreat it’s a time to lean in, strategically.

Revisit the Plan, Not the Panic Button

Down markets can rattle even seasoned investors. But the best defense is a strong plan. Use this time to revisit your comprehensive wealth strategy. Are your goals still aligned? Are you positioned to weather storms like this? If not, now is the time to build that foundation. History shows that having a plan you can stick with during turbulence is often the key to long-term success.

Stay Balanced in a Click-Bait World

The media thrives on extremes—either euphoric highs or doom-laden lows. But real investing lives in the steady middle. It's about perspective. The S&P 500 has had an average intra-year drop of 14% since 1980 yet ended positive in 32 of those 44 years. Volatility is the cost of admission for long-term gains.

Rebalance and Reinvest

With equities down and bonds up, your portfolio is drifting from its intended allocation. Rebalancing can help maintain the risk profile you originally designed. And if you're sitting on idle cash, this could be an opportune moment to put it to work. Historically, investing after a 5% pullback has delivered 12-month gains nearly 75% of the time.

Harvest Tax Losses Early

Don't wait until year-end. Market dips can be an ideal time to realize losses and offset gains. This can also be a good opportunity to work with managers who actively manage tax strategies year-round.

Estate Planning: Low Valuations, High Opportunity

Asset values are down—so gifting them now could reduce future estate tax burdens. Consider:

Time in the Market Beats Timing the Market

Trying to guess the bottom rarely works. Missing the best market days—often clustered around the worst ones—can significantly dent your returns. Stick to your strategy. Be consistent. If you can’t stomach the swings, automate your investments and reduce the temptation to "wait and see".

Downturns Are Normal. Perspective Is Powerful.

Market pullbacks happen every year. In fact, most years with gains still see intra-year drops of 10% or more. But over the long term, the trend remains upward. The market’s worst days often precede its best recoveries. So, hang on—the ride is worth it.

Final Thought: Don’t Waste a Down Market

Use volatility as a catalyst, not a crutch. Whether it's updating your financial plan, making a strategic Roth conversion, locking in yields, or setting up estate planning moves, this is a moment to act. Meet with your advisor. Review your strategy. Let the headlines blare while you quietly make progress.

Not sure where to start? Consider:

• Funding Roth IRAs or converting traditional IRAs to Roths

• Contributing to trusts, UTMAs, or 529 plans

• Looking into structured investments for downside protection

• Using the annual gift exclusion and lifetime exemptions

• Funding GRATs with depressed assets

• Swapping assets into a grantor trust

• Employees with company stock should consider exercising options at lower values, expecting a rebound.