A Quick Reminder

This is a short post because I am in Spain with my family. Al and the kids are waiting to get the day’s adventures started.

The headlines have got a bit scary again over the past week with the China-US trade war being taken up a notch or two.

Be reminded that:

Markets are volatile. We earn our return by going through the volatility. Suppress volatility and you suppress return.

You can’t make investment policy out of current events.

Historically, every correction has turned out to be a buying opportunity.

Consistently knowing when to get out of markets and when to get back in again is impossible.

The long-term permanent return of stocks only comes to those who ride out the short-term temporary losses.

If you are in the wealth accumulation phase of life (i.e. working, saving and investing for your freedom later) then you welcome lower prices as a chance to buy stocks on sale.

We always continue acting on our plan and we never react to headlines.

There will always be a smart sounding reason to sell stocks.

Source: Morgan Housel

Source: Morgan Housel

My clients are reminded of this regularly and I very rarely get a panicked phone call when volatility picks up. If you are not a Liberty Wealth client and are feeling unsure about your plan or what you own, why not do one simple thing today. Hit reply to this email and let’s talk it through. I always offer coffee and a second opinion.



Georgina Loxton