The #1 Thing Your Advisor Must Do During Scary Markets.

I want to talk to you about scary markets, and why it’s critical to talk to your advisor during these types of markets. We can guarantee that another bad market will come again, eventually, sometime. And when it does, you’ll want to have a plan. That’s precisely why now is such a good time to be talking to your financial advisor.

Preventing clients from bailing out of a well-designed investment plan during a scary market is probably THE single most important job a financial advisor can carry out. When investors move out of the market when markets are down, they can really harm their long term financial plans.

A recent study, released by Fidelity Investments, shows how damaging moving in and out of the market can be. If an investor invested $10,000 back on Jan 1st, 1980, just missing the 5 best days in the market would cost that investor 35% of their overall growth. Missing the best 50 days cost them 91% of the growth they would have received by staying in the market.

When the markets get scary, advisors are often the only people that can keep clients from doing something to hurt themselves, financially, over the long term.

Sometimes advisors tend to avoid clients when the markets are down. And that’s a natural human tendency. We don’t want to deal with uncomfortable conversations, if we can avoid it.

The problem is if clients are not in touch with their advisors during these rocky markets, clients will oftentimes decide to “cash out” of the market. By moving out of the market, clients can really hurt the growth on their plans.

We’ve been in touch with our clients over the past several months and have advised them on what do. When did you last hear from your advisor?

Yours in service,


Gerard Nash, B.Comm., CFP ®

Gerard Nash
Gerard graduated from Memorial University of Newfoundland in 1996 with a Bachelor of Commerce Degree. In 2001, he earned the designation of Certified Financial Planner (CFP®) from the Financial Planning Standards Council of Canada. He holds many achievement awards from Freedom 55 including Wealth Advisor of the Year and Corporation of the Year. Gerard is passionate and thorough in building and protecting the wealth of existing and new clients. His practice is in it’s twenty-third year with London Life and Freedom 55 Financial (now Canada Life). In 2019, he incorporated his business under the name 'Principal Planning' and invited additional financial planners and advisors with the same commitment and competencies to join him in providing quality financial advice. Gerard is licensed in the provinces of Newfoundland and Ontario. He welcomes new financial inquiries, and promises excellent, honest advice. Gerard hails from the Cape Shore area in Newfoundland. He lives in St. John’s with his wife, Sharon, and their four children, Joshua, A.J., Connor, and Elizabeth. He is a huge basketball fan and can usually be found coaching and watching his kids basketball games on the weekends!

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