Nowhere to hide!
Surely you remember the childhood game “hide and seek”. As a refresher, the person who is “it” closes his/her eyes and counts down from a certain pre-determined number while the others in the game scope out places to hide themselves in the hope of not being found by the person who is “it”. Once the countdown is completed, the person who is “it” yells “Ready or not, here I come!” The better the hiding place, the more likely you will remain safe and out of danger of being found and become the winner!
Today’s volatile markets are nothing like the old game of hide and seek. History has demonstrated that if one sector of the markets is doing poorly, another sector of the market is doing well. In other words, you could consider reallocating your holdings within the financial markets to find less volatility.
The message that the markets are sending in the first half of 2022 are unprecedented. We have actually experienced some of the worst performance we have seen in history year-to-date.
- The S&P has had the worst start since 1970.
- Bonds have recorded their worst start to a year on record.
- And even diversification benefits have been limited.
Only two other times in history were both equities and bonds simultaneously negative through June 30. Those years were 1984 and 1994.
The slide below is from the Chief Investment Officer at Raymond James, Larry Adam. It clearly illustrates these findings. (Source: FactSet, Data as of 6/30/22.)
What should you do in unprecedented times like this? First, we recommend that you don’t panic – instead call us. We can help provide clarity so you can make informed decisions about your portfolio.
We certainly understand that this current market environment is un-nerving for all investors – young, income earners, pre-retirees, and retirees. Everyone has unique needs and concerns.
What should you do in unprecedented times like this? First, we recommend that you don’t panic – instead call us. We can help provide clarity so you can make informed decisions about your portfolio.
We consider it a privilege to help guide you through both profitable and challenging times. Thank you.
To listen to the entire client webinar by Larry Adam entitled “Deciphering the Market’s Difficult Message”, please click on the link below.
