Here's a framework you can use to thrive in any environment.

Market crashes are hard for most people because most of their wealth tends to be concentrated in one asset class:

No matter how unemotional we are taught to be about investing and money, we are human. 

You have worked hard to save money and watching your accounts drop is not fun. 

This is made worse when the stock market is your largest asset and you don’t have a Multi Asset Plan (MAP).

This results in the wealth destroying fear cycle that plagues so many hard working, well intentioned people who are just trying to do the best they can:

This is the cycle of always missing out on gains, entering at the wrong time, locking in losses when markets are down.

The reason this happens so frequently is mainstreet financial advice has confused people into thinking investment advice is financial planning.

Financial planning is the process of becoming financially unbreakable. So nothing in the world that happens can take you out. 

This process of building a true strategic Multi Asset Plan allows you to shrug off market downturns and more importantly look for opportunities:

You will see this cycle over and over where the wealthy use downturns and big events to buy more and more assets at discounts.

This happens by having the right mix of assets so you feel comfortable capitalizing on opportunities as they are presented to you.

In addition to different types of assets, every Multi Asset Plan has systems to lock in profits. This is in contrast to most “appreciation only” assets such as stocks.

The ability to lock in profits on an ongoing basis provides incredible peace of mind. This also provides capital for new opportunities.

Most people are not exposed to these concepts because most advice you see is simply investment advice. 

Investment advice is very important, but it is generally not holistic and might not be helping your stress levels right now.

While it’s not a good idea to make big moves during market downturns, it is a good time to check your plan. 

If you are stressed watching the market, this is a good sign you may want to adjust things in the future when things calm down.

Reviewing your financial plan does not mean selling assets but it may provide you some peace of mind and allow you to create a more stable plan you can implement in the future:

Key takeaways:

• Investments are not a financial plan.
• If you are stressed, it is good to review your overall strategy.
• It can be helpful to get some unbiased advice.

Thank you for reading and please let me know if you have any comments, questions or feedback!

📖 Resources:

How to create a financial plan so you can stop worrying about money and enjoy more life