Monthly Note

Hello all! March statements were probably unsettling for most clients. I don’t want to underplay how scary times like this can be. It is perfectly normal to worry about your accounts and what the future will bring. Exactly why markets are struggling and what the next few months will look like is mostly speculation, even from the most experienced experts.

Although it’s normal to second guess our strategies, I firmly believe it is more important to be around for the up markets than it is to try and dodge the downturns. The markets cannot go up uninterrupted, occasional downturns like this are inevitable. We might see a real nasty dip (like 2020 during coronavirus), with a quick dramatic return, or a slow languishing market that takes a year or more to recover. I wish I had better answers.

We are not simply “doing nothing”, much of what we do for situations like this, happens long before the downturn ever comes. When the drop comes, it is typically too late to react, but the portfolios we manage are designed to work with market drops. Timely account rebalances and adjustments that are based on what the market has done, and not what we think the market will do, has always been my strategy. If I believe an adjustment is necessary, I will take action, but more often than not, making too many adjustments is more detrimental than it helps.

This is by far the best way for me to pass a simple message quickly and efficiently to all 180 households that I work with. HOWEVER, I consider talking my clients through situations like this my top priority as an advisor. If you’d like to talk through your individual situation, then please call. My office phone is 208-534-7659, which will ring through to my cell if I am out of the office. You can also schedule an office appointment anytime via my office manager, Lynn at 208-534-7660.

It is normal to be scared. I can’t really change anything about the situation, but I can put it into context and help you understand it a bit more. Try not to think about it too much and enjoy the spring.

Opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. The economic forecasts set forth in this material may not develop as predicted and there can be no guarantee that strategies promoted will be successful. Because of their narrow focus, investments concentrated in certain sectors or industries will be subject to greater volatility and specific risks compared with investing more broadly across many sectors, industries and companies. Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs and does not assure a profit or protect against loss.