Blog Article

Lessons learned in a market downturn

Tyler Bartlett

By Tyler Bartlett, Director of Wealth Management AEP®, AIF®, AWMA®, ChFC®, CFP®
Published On 03/11/2011

It was not that long ago when the equity markets were down over 50%, buy-and-hold investing had been declared dead, and many investors had little faith that the markets would recover during their lifetime.  Two years later the equity markets have risen significantly.  Many investors may not understand why as the recovery has occurred during a period of soaring deficits, major bank failures, increased tensions in the Middle East, rising prices for oil and gold, and uncertainty over the financial stability of the European Union.

This article by David Callaway offers lessons that many investors have learned during this most recent downturn:  The market has always recovered without the ability to see nor predict the turning point until after the fact. Buy-and-hold investment strategies are not dead, and investors who stayed the course through thick and thin did quite well. Diversification works, and diversified portfolios have helped to capture the best of market movements.  Quite possibly the most important lesson we can all learn is that as the daily noise of the news grows louder and louder, often times the best thing we can do is tune it out.

P.S. Don't LET YOUR FRIENDS MISS OUT. Share this article:

Tyler Bartlett

By Tyler Bartlett, Director of Wealth Management AEP®, AIF®, AWMA®, ChFC®, CFP®

Tyler has been working as an advisor for over 20 years and now serves as our Director of Wealth Management, ensuring our team of advisors has the guidance and support to provide the best possible service for our clients. As someone who knows firsthand how difficult it can be to find the help you need during challenging times, his goal is for Merriman to be your trusted partner.

Articles Straight to Your Inbox

Subscribe to Merriman's Envision Newsletter to receive in-depth articles and expert commentary, delivered monthly to your inbox:

"*" indicates required fields

Name*
This field is for validation purposes and should be left unchanged.

By submitting your information, you consent to subscribe to Merriman's email list so that we may send you relevant content from time to time. Please see our Privacy Policy.