2025 is in full swing and we are inching closer to longer days and budding blossoms!
You can’t fully appreciate the Spring without the Winter, so you might as well embrace this season of cold and dark. We are building character, after all!
Like the seasons of the year, there are swings in the stock market that sometimes feel like the cold, dark days of winter or the easy, sunshiny days of summer…it is just less predictable than the flip of a calendar.
When you listen to the market analysts or read about the 2025 stock market outlook, there is general optimism that there is a strong economy and declining interest rates that will support gains in 2025. (per Investopedia citing Wall Street Analysts)
Logically, there are troves of data you can explore to make market predictions, but at the end of the day, nobody really knows what is to come. This is why investors should be careful to never take one slice of time too seriously. Instead, you should look at investments from a long-term goals point of view. Over time, returns will smooth themselves out and large swings up or down become less obvious as you “zoom out” from day, week, month, or even one-year market performance charts.
This is especially true when unprecedented or unpredictable events occur:
- Nobody knew 9/11 was coming until it happened.
- Nobody knew COVID would be what it was.
- Nobody knew Russia would invade Ukraine and set off a chain of geopolitical tensions.
- Nobody knows what, when, if, or why the next large tragedy will occur affecting lives and stock market valuations.
The only thing you can do to mitigate the emotion that comes with volatility is stress test your portfolio with financial planning.
I used to think that financial planning was a waste of time because life and world events are so fluid, by the time you walk out of my office, it is already practically out of date. While that ever-changing world will always remain true, I do now appreciate the way planning prioritizes a client’s goals. Most importantly from the client’s point of view, the visual outlooks help to provide financial clarity and understanding for anyone making large financial decisions, like retirement or the sale of a business, etc. It takes a little bit of data gathering and submitting personal details, but I have never met a client who regretted the time spent once they saw a visual representation of their hard-earned dollars paying them back for years to come.
While documents flow in from end-of-year 2024, and our 2025 is still fresh and shiny, I can’t think of a better time to sit down with a professional who can give credence to how to get on track or how to stay on track for your life’s biggest ambitions!
It’s never too late to make this year great!
Financial Advisor
Prime Capital Financial
Cedar Rapids, Iowa
pciacedarrapids.com
1815 Boyson Rd.
Hiawatha, IA 52233
P: (319) 269-7143
Advisory products and services offered by Investment Adviser Representatives through Prime Capital Investment Advisors, LLC (“PCIA”), a federally registered investment adviser. PCIA: 6201 College Blvd., Suite#150, Overland Park, KS 66211. PCIA doing business as Prime Capital Financial | Wealth | Retirement | Wellness.
