How widespread is the current banking turmoil? Should we be concerned about our bank deposits? Are the current challenges unique or similar to other banking turmoil in the past? Are there investment opportunities in this economic environment?
Below is a 12 min audio explanation of the banking issues by a Capital Group portfolio manager who has 30 years experience and a banking analyst. If you want to know how this issues will affect local banks and the economy as a whole, have a listen.
If you have any questions / concerns please feel free to reach out to our office.
Call 864-862-9269 or email [email protected]
John F. Kennedy famously declared, “In the Chinese language, the word ‘crisis’ is composed of two characters, one representing danger and the other, opportunity,” a crisis communication credo was born. The expression’s durability echoes our own philosophies. With over 25 years experience navigating market storms, Masters Financial Group draws from a deep well of experience helping clients navigate their financial lives through each crises. Stepping into a crisis with a clear plan will equip you with tools to steady your hand and, when appropriate, strike prudently and decisively as you steer through the storm.
Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it.Warren Buffet
This quote, more so than any, seems particularly applicable in today’s investing climate. The same people who were loving stocks when they rose 5% during one week are now fearful of them after a 10%-15% correction. If the general outlook or your perception of a company’s earnings don’t change, then you shouldn’t dislike stocks more now than you did in last year. If your perception of what Johnson & Johnson (JNJ) is going to look like in 2023 hasn’t changed in the past twelve months, then why wouldn’t you be thrilled that you can buy in at around $151 now, compared to $175 a year ago?
If you wait for everything in America to get rosy, then you’ll miss out on the gains. It’s as simple as that. Historically speaking, the prices of stocks run ahead of the overall economy by about six months. We all know that we should ‘buy low and sell high’, but when it comes to actually executing that strategy, we sometimes fall short. If you can have the discipline to put your own surplus funds into the stock market when all the financial pundits are predicting doom, you will put yourself in a superior position to reap the rewards when the good times return.
If you would like to discuss ideas and opportunities for investing money long term please give us a call to schedule a phone call or meeting in our office at 864-862-9269.
Dave Conley, CFP