Volatility is a normal feature of markets. Nobody can reliably predict when it will arrive or how long it will last, so a framework for responding is more useful than a forecast.
Return to the goal
Ask whether the reason you invested has changed. If your goal and horizon are unchanged, a temporary fall may not alter the plan.
Check your liquidity
Having enough accessible money for near-term needs reduces the chance of being forced to sell at an unfavourable moment.
Review your allocation
If your portfolio has drifted far from your intended mix, rebalancing may be worth discussing. This is a matter of discipline rather than prediction.
Be wary of noise
Headlines and social media can amplify fear and excitement alike. Decisions made in haste are often regretted.
Know your limits
If volatility keeps you awake, your portfolio may carry more risk than you are comfortable with. That is worth discussing, not ignoring.
This article contains no market forecast. It is general education and is not personalised financial advice. Investments are subject to market risks.
Important information
This article is for general education only. It does not consider your personal objectives, financial situation or needs, and is not investment, tax or legal advice. Investments are subject to market risks. Read our risk disclosures.