This week is Rosh Hashanah and during Rosh Hashanah we eat apples and honey to symbolize a sweet new year ahead. So, in the spirit of getting back to celebrating all the things, I will keep this week’s post short and, well, sweet.
There’s almost no escaping the news surrounding Trump’s impeachment inquiry. Regardless of your politics…
It’s about to get a lot weirder in America.
— Douglas A. Boneparth (@dougboneparth) September 24, 2019
I mean, did you really think things couldn’t get any weirder? Come on, now. Life is weird. But since this is a *financial blog*, I am sure you are wondering what all of this might mean for investors. Last week, I got to share my professional thoughts alongside some industry greats, like Ric Edelman, in this Washington Post article.
Like the good comprehensive financial planner that I am, I dropped the oh so evergreen “nobody really knows” line:
“The truth is that no one knows for sure if these proceedings will bring markets down as we have seen varying results in the past. While impeachment is not a good thing, it doesn’t necessarily mean it will bring down the markets. However, deteriorating market fundamentals could feed off this type of headline risk.”
That’s right, my crystal ball is just as bad as yours. Deal with it. What I do know for sure, however, is that the market doesn’t care about your politics and it most certainly doesn’t care about your feelings. Market’s gonna market, and your love or hate for the President and/or politicians won’t change that. But people always want to know what to do, so I hit them with the call to action:
“The best move is sticking to your financial plan. If you don’t have one, now is a great time to get one. A comprehensive financial plan would cover the relationship between cash flow and savings, risk management, investment, retirement, tax and estate. Understanding how these areas of your life work together helps individuals reach their financial goals more effectively than simply guessing. Investors that make it through volatility in the best shape are those with a clear understand of where they going financially and in life. It prevents emotional and regrettable decisions from being made.”
That there is the right answer. Do you want to know how many clients have called me asking about impeachment? Zero. Why? Because (a) they’re in control of their financial lives and (b) they have much more important things to do than wonder how this latest dumpster fire (and it is a dumpster fire) is going to impact their long-term portfolios. If you are worried, you know what to do. Go find an advisor you gel with and put a plan in place.
Okay, that’s it. Happy New Year to all those celebrating. May it truly be a happy, healthy and sweet one!
