Sie sind mit Marktvolatilität und finanziellen Risiken konfrontiert. Wie werden Sie mit den unerwarteten Spitzen umgehen?

Navigating unexpected market spikes is all about staying adaptable and well-informed. I keep a close eye on market trends and financial indicators, so I’m always ready to adjust strategies as needed. It's not just about reacting to changes but anticipating them through careful analysis and forward-thinking. I also maintain open communication with my clients, guiding them with honest advice and tailored solutions that fit their unique situations. By having contingency plans in place and staying connected with trusted industry professionals, I make sure that we’re prepared to handle any volatility together, so my clients feel confident and secure no matter what the market throws our way.

I always start by identifying potential financial threats and how they could impact a portfolio. This includes considering various scenarios, such as market downturns, interest rate changes, or geopolitical events, and evaluating their potential effects on investments. A key aspect of this process is understanding my risk tolerance and investment horizon. For example, if the goal is long-term growth, short-term fluctuations might not be as concerning, whereas, with a shorter horizon, the focus is on preserving capital. By thoroughly evaluating these factors, I’ve been able to help clients stay calm during periods of volatility, ensuring they make informed, strategic decisions rather than reacting emotionally to market movements.

For most, volatility is no fun. In fact, some wonder if it’s time to “get out” of the market or hold on to excess cash. We don’t think so. For many long-term investors, it’s probably time to stay (or invest). It may sound cliché, but remember that we are human, and as such, emotional beings. And there’s more value in this than you might think. In our analysis today, we share five principles that will enable investors to embrace the unknown.

By spreading investments across various asset classes, industries, and geographies, I’ve helped clients reduce the impact of market swings on their portfolios. For example, when equities are underperforming, bonds or real estate investments may be performing well, providing a buffer against losses. I emphasize that diversification is not about eliminating risk but managing it in alignment with financial goals. It helps to smooth out the highs and lows of individual asset performance, ensuring a more stable overall return. However, I’ve also learned that diversification isn’t a one-time task. Regular reviews and rebalancing are crucial to maintaining the right mix of assets as market conditions and personal financial goals evolve.

Volatility is normal, don’t let it derail your plans Keep a long-term mindset Above all, have a plan with goals Every year, the saying “sell in May and get out” becomes a media headline (it’s based on the idea that this month tends to be weaker for stocks than others). Yet this year in particular shows why this approach can lead to missing crucial opportunities to grow and accumulate wealth over time. Despite all the uncertainty, the S&P 500 is up nearly 4% this month, so far the second-strongest of 2024 and well above the average May return over the past 30 years. This illustrates why trying to time the market can be a dangerous habit.

I always advise clients to keep a portion of their assets in liquid investments, such as savings accounts or short-term securities. This ensures they have access to cash when needed, without being forced to sell off long-term investments at a loss during market downturns. In one case, a client faced an unexpected financial need during a market dip. Because we had allocated a portion of their portfolio to liquid assets, they were able to cover expenses without touching their long-term investments, allowing them to ride out the market volatility. Having this financial buffer not only provides peace of mind but also protects the overall investment strategy.

Another example. Over the past two decades, an investor fully invested in the S&P 500 has received a total annual return of 10%. However, if they had sold at the “wrong” time and missed only the 10 best days, their return would have been cut by almost half, to just under 6%. Avoiding these mistakes can also be difficult, because bad and good days tend to cluster together. Over that same time period, seven of the 10 best days occurred within just over two weeks of the 10 worst days. No one has a crystal ball. So while it may feel comfortable to sit on cash, fear, greed, or rash actions to “beat” the market can lead to emotional decisions or following the herd, rather than logical choices.

For example, during a market downturn, I’ve advised clients to avoid selling off assets in a panic. Instead, we focused on their long-term strategy, reviewing how their portfolio was aligned with their goals. This approach often calms nerves and helps them see the bigger picture—that markets historically recover over time. By keeping our eyes on the horizon, we’ve been able to ride out short-term volatility without derailing financial plans. This strategy not only protects against unnecessary losses but also positions clients to benefit from market rebounds. Staying disciplined during turbulent times has been crucial in achieving long-term investment success.

If you’re going to do any work around your home, you’ll need different tools. Your portfolio is no different. Whether it’s cash, stocks, bonds, or alternative investments, each asset plays a different role in helping you achieve your long-term goals. Stocks and Bonds Outperform Cash and Inflation Over Time Stocks, eg, owning a stock means owning a stake in a company and its future. Often, this means benefiting from earnings growth and dividends paid to reward shareholders. Over the past three decades, both have contributed about 95% of the cumulative total return of the S&P 500 (close to 2,000%), with the remaining 5% attributable to changes in valuations. So while equities exhibit greater volatility, they can also drive capital apprc.

Continuous learning has been a cornerstone of my approach, whether it’s keeping up with market trends, studying economic indicators, or exploring new investment strategies. I rely on reputable sources such as financial news outlets, market reports, and industry publications to stay updated. This knowledge has helped me anticipate changes, such as shifts in interest rates or market volatility, and adjust strategies accordingly. Additionally, I’ve found that seeking advice from financial professionals or experts can offer valuable perspectives, particularly during uncertain times. For example, consulting with an advisor helped refine a client's portfolio to better weather an upcoming economic downturn.

Bonds: These provide stable income through regular coupon payments. After the global financial crisis and with interest rates set at emergency low levels, they did not yield much. Now, the post-pandemic recovery (albeit a painful adjustment) has made bonds more competitive. Tactically, short duration offers strong upside potential.