Turn Uncertainty Into Strategy
Uncertainty is part of investing—and it’s also the reason long-term investors are rewarded. Market corrections can be unsettling, prompting many to question their exposure to risk. Ironically, those moments of doubt—when prices are falling and emotions are running high—are often the least favorable times to make big changes. Markets begin to price in worst-case scenarios, and decisions made in haste can derail long-term plans.
On the flip side, when stocks are hitting all-time highs, it’s easy to ignore conversations about risk—even when an advisor brings it up. That’s why now may be the sweet spot. After a recent correction and rebound, you’ve seen how your portfolio reacts under pressure. Think of it as a financial “mulligan”—a chance to reflect and recalibrate with a clearer head.
So where do you go from here?
Four Steps You Can Take Today
1. Revisit your emergency fund.
Aim for 3–6 months of essential expenses in a dedicated account. A strong cash reserve can provide a nice contingency plan for unexpected needs during market volatility. Your return is peace of mind.
2. Plan ahead for large expenses.
Expecting a tuition bill, home project, or big trip in the next year or so? Set that cash aside now so market swings don’t force a change of plans.
3. If you’re retired, keep 3 years of stable income.
Holding at least a few years of conservative, liquid, interest-bearing assets can help you avoid the need to sell stocks in a downturn to fund life's needs. The goal is to position your portfolio where daily fluctuations don't impact your quality of life decisions.
4. Reevaluate your risk.
If recent volatility has left you uneasy, it might be time to check whether your portfolio still aligns with your stage of life and financial goals.
The Market Will Always Change—Prepare So Your Plans Don't Have To
Your investment plan should be built around your life—not just the market. Working with a financial advisor who understands your full financial picture—your life stage, upcoming transitions, and long-term needs—can help you move forward with clarity and confidence.
We can help you:
- Set up a dedicated emergency savings account
- Prepare for upcoming expenses with thoughtful planning
- Review your asset allocation to reflect your goals
- Adjust your risk exposure in light of recent changes
This is the value of working with an advisor who stays in regular contact and truly understands what matters most to you. If you're wondering whether your plan is still on track, let’s talk.
*The foregoing content reflects the opinions of Van Hulzen Asset Management DBA "Van Hulzen Financial Advisors" and is subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that the statements, opinions or forecasts provided herein will prove to be correct. Past performance may not be indicative of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. Securities investing involves risk, including the potential for loss of principal. There is no assurance that any investment plan or strategy will be successful.