It’s probably an understatement to say there’s a lot going on at the moment. Between your work, family, friends, worries about the future, and the never ending news cycle, it can feel like everything is on the line when trying to make decisions about investing.
Emotions – especially anxiety – can lead you down an investment path that feels right at the moment but is likely not ideal in the long term.
It’s worth remembering that a disciplined approach to investing can save you a lot of money and stress.
When you have a steady investment plan that accounts for normal market fluctuations, you can ride out periods of market volatility with confidence because you know you built your portfolio to survive times of uncertainty.
Anxious moments pass, sometimes in the blink of an eye. And when you make it through another stressful period, you can take a few deep breaths and stay calm because you know your portfolio is there, working toward the goals you set, regardless of how anxious you feel.
You will never eliminate your emotions from investing, but it’s important to ensure that your emotions are working for you and not against you. When you’re anxious, focus on your long-term goals instead of worrying about the here and now. Your investments were designed to deliver in the long term, and they don’t get stressed out when the market gets a little volatile.
So, instead of worrying, focus on what you can control in your investments. Make sure you have a balanced portfolio and save more when and if you can to get the best outcome for your future self.
Any opinions are those of Thomas Fleishel and not necessarily those of Raymond James. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Every investor’s situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation.