Riding Out the Market Roller Coaster

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5.19.2020
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Financial
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Dave Johnston

The market is a lot like riding a roller coaster – you don’t want to exit in the middle of the ride. We’re all finding ourselves thrown for a loop right now and our financial security may seem out of control, but it’s in our best interest to keep our seatbelt fastened as we wait for the market to stabilize. On any roller coaster, there may be thrills, scares and curves, but we trust that we’ll end up making it back to safety, right? That’s because the roller coaster ride is planned – from point A to point B (with a few contingencies along the way just in case of emergency).

We understand that these times of uncertainty have prompted a lot of questions related to retirement, financial security, investments and the future. The truth is that most of your questions don’t have concrete answers right now. But, that’s no reason to panic and make hasty decisions. When the unexpected happens, it helps to have a plan.

Creating or revisiting your financial plan is something you can do right now to help protect your or your family’s future. Having a trusted advisor explain your options and identify actionable items will take the emotion out of decision-making.

Based on your goals, circumstances and timeframe, there are some basic things you can consider. Options will look different for those facing a cash crisis due to unexpected job loss, those facing high medical bills, and those who are retired or nearing retirement and wondering if their assets will last. Whatever your scenario, a financial expert can help you rationally evaluate potential options and resources to help you make an informed decision.

Fortunately, many of us have the advantage of time on our side. If you look back at previous financial crises in the U.S., you’ll see that the economy has recovered each time – often in a matter of a few years. A long-term perspective is how you’ll recover.

Those with a long-term investment strategy will be minimally affected, so it’s important to maintain your investment strategy right now. Revisit the conversation around risk tolerance if you’re feeling uneasy. Again, having a plan and discussing your options will prevent you from making big mistakes.

No matter what stage of life you’re in, it’s a good time to set or reassess your budget. Try to minimize spending, but do not cut corners on necessities like your insurance policies.

Remember—no matter how urgent your situation may seem—you have options. Even during a time with so many unanswered questions, there are two possible outcomes from talking to a wealth advisor. Either you’ll be relieved to know that you’re on track for retirement or really any financial goal, or you’ll be more confident that you’re taking steps in the right direction. Call or schedule an appointment with our wealth team to discuss your options and stay on track to achieve your goals.

 

Written by: Dave Johnston, head of wealth management

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. Financial products made available or recommended by Ameris Bank that are not bank deposits are not insured by the FDIC; are not a deposit or other obligation of, or guaranteed by, Ameris Bank; and are subject to investment risks, including possible loss of the principal amount invested.