August market insights
Stocks end August lower despite easing inflation concerns.
What it means for you
Markets move in response to news, specifically when the news brings surprises compared to what the markets expected. Our advice remains steadfast: To stay invested and to stay diversified. That’s why our portfolios are constructed to give you exposure to a broad set of asset classes, and we rebalance your account as needed to maintain broadly diversified allocations.
Meanwhile, for the moment, we’ve dodged a recession, and it’s possible we may get that desirable “soft landing,” where inflation comes back down without economic growth disappearing too. But it’s still uncertain. Talking to your financial planner can help you navigate uncertainty, and help you decide how much risk you’re comfortable taking to help you achieve your financial goals.
Investing strategies, such as asset allocation, diversification or rebalancing, do not ensure or guarantee better performance and cannot eliminate the risk of investment losses. All investments have inherent risks, including loss of principal. There are no guarantees that a portfolio employing these or any other strategy will outperform a portfolio that does not engage in such strategies. Past performance does not guarantee future results.
An index is a portfolio of specific securities (such as the S&P 500, Dow Jones Industrial Average and Nasdaq composite), the performance of which is often used as a benchmark in judging the relative performance of certain asset classes. Indexes are unmanaged portfolios and investors cannot invest directly in an index. Past performance does not guarantee future results.