Time to Reassess Goals and Your Portfolio

Time to Reassess Goals and Your Portfolio

It seems like a year ago when we wrote our last update for the Quarterly Performance Reports.  As of this writing (June 24^th) the stock market had rebounded significantly off its March lows.  The fastest bear market in U.S. history was followed by the fastest rebound as well.  Like everyone, we have suffered a degree of whiplash as we watched the stock market gyrate between soaring and plunging on a weekly, daily, and sometimes hourly basis. Of course, this volatility has been driven by the virus and the market’s outlook for earnings over the short-term.

In addition to Covid-19, we have a Presidential election on November 3^rd.  Tighten your safety belt as this election campaign season will certainly provide the market with more rocket fuel for the roller coaster ride called stock market volatility for the next four months.  This election promises to be full of vitriol, especially when you add in the protests and social justice reform conservations around the awakening to the realities over racial inequality and injustice.  Protests that have eclipsed those following the murder of Martin Luther King Jr. will likely continue through the summer and certainly add to the volatile nature of this presidential race.

We have had many conversations with clients around their goals, especially during the end of March when the stock market had fallen so sharply.  Some clients reduced their spending (there was not much to spend money on while sheltered at home).  Others wanted reassurance that their plan was still viable.  While some wanted to increase their contributions to local food shelves and other charities in need.

We rarely encourage people to make changes to their portfolio during a downturn, however once markets recover it is a good time to reassess your goals and the risk in your portfolio.  Our team works hard to make sure each portfolio has enough growth potential to help our clients reach their long-term goals, without taking on too much risk.  Our objective is to strike the right balance between growth and protection.  If you find yourself worrying about your portfolio, please do not hesitate to reach out to us to review your portfolio, your plan and reassess your goals. 

We know sheltering in place is getting mundane and everyone misses their normal routines of eating out, going to movies, to places of worship, and sporting events.  For those of you who are at high risk, please resist the desire to get back to normal.  We want everyone to stay safe and healthy!

Be well,

The Bond&Devick Team