March 24, 2020 Update: Perspectives on Recent Market Volatility
A Message for Our Clients:
I recognize that people are anxious and that the Wall Street “ride” continues to be bumpy in the near term. However, since I’m in the position to receive a lot of feedback from investors and colleagues, I want to share perspective from my corner.
In talking with a lot of people lately, I’m discovering an overall sense of strength, resiliency and optimism. The underlying sense is that we will get through this and things will eventually return to normalcy. It’s to be expected that people are nervous. That’s normal and understandable; the future is always uncertain, perhaps more so during times like this.
I’m also optimistic about the future. The near term may remain a bit unsettling. Yet, once we turn the corner, people and businesses should start the process of returning to normal operations and habits. And, the economy should start going down the road to recovery.
So what should you do in the meantime?
First, we suggest that you avoid obsessively checking your daily account balances. Instead, think longer-term—go back one, three, five, or ten years to see a long-term view. Know that we're watching things for you day-in and day-out. Second, when you do peek at it, remember that the recent prices you see on your statement, or online, are the prices other people are selling at, not you. If someone knocked on your door tomorrow and offered a low-ball price for your home, you'd probably send them packing. This situation is similar. Since you're not selling, those reduced market prices are other people's prices. Not yours.
I’m confident that we're going to get through this together. And always remember that the HearthStone team and I are here for you and ready to talk with you on the phone, anytime.
Paul Hynes, CFP®
President and CEO