From Yahoo Finance: 2025-05-18 13:26:00

Investors facing market volatility must stay calm amidst turbulence. The S&P 500 experienced its worst 100 days under a new administration in over 50 years, but rebounded after China-US tariff news. Preston Cherry advises against panic, emphasizing strategic flexibility and tactical shifts to manage risk during uncertain times.

Cherry suggests staying invested during market downturns to benefit from recovery. He recommends tactical flexibility, making slight pivots like raising cash or adjusting allocations to navigate economic bumps. Having cash on hand can prevent selling at a loss and provide flexibility without disrupting daily life.

Down markets can offer opportunities for strategic tax planning, such as Roth IRA conversions and tax-loss harvesting. Cherry advises taking partial gains in strong markets to balance returns. Understanding one’s retirement timeline and revisiting investment strategies is crucial for those nearing retirement.

Cherry outlines a framework for managing finances during tumultuous times, focusing on the “Six A’s”: admit, acknowledge, act, align, aspire, and achieve. By aligning life and money goals, individuals can define aspirations, avoid comparisons, and thrive on their terms. Robert Powell offers retirement planning tools on Decoding Retirement.

Read more: Why it’s important to stay the course through market volatility