We will get through this togetherSubmitted by Beacon Financial Planning of Cape Cod, Inc. on March 23rd, 2020
Monday, March 23rd, 2020
Our BFPCC Investment Committee was on a webinar with JP Morgan today and wanted to share the following important insight with you. If you historically had a diversified portfolio of 60% Stocks and 40% bonds, it likely looks more like 52% Stocks and 48% bonds (as of Friday (3/20) making you already "more conservative."
This chart enclosed below shows intra-year stock market declines (red dot and number), as well as the market's return for the full year (gray bar). What is clear is that the market is capable of recovering from intra-year drops and finishing the year in positive territory.
We want to take a moment this morning to pause and recognize that it's okay to feel upset and afraid. We welcome you to make time for those feelings and separate them from the fundamentals of the financial plan that you've built. Now more than ever, it's important to remember that we have stress tested your portfolio. We are aligned to get you through this. Our job is not to let emotions to drive the bus. We must stick with fundamentals.
We hope you will utilize this time to dig deep and stay in touch with your family and friends. We are here for you and welcome you to reach out should you have any questions or concerns.
With gratitude for your trust,
Your Team @ Beacon Financial Planning of Cape Cod
FactSet, Standard & Poor's, J.P. Morgan Asset Management
Data as of March 20, 2020