Archive · 5 Aug 2025
Advisors Offer Ways to 'Panic Prudently' During Market Downturns
When the stock market goes down, it's easy to panic and sell your investments.
Financial advisors are helping people make smart choices instead of impulsive ones.
They suggest taking a break from adding money to your investments, not reinvesting money from stocks and bonds for a short time, and making your investments more cautious.
If you still want to sell, sell a little from all your investments, not just the ones that are doing badly.
The most important thing is to think carefully before making any decisions and remember that market downturns don't last forever.
Market volatility in 2025 has caused many investors to feel apprehensive.
Financial advisors are helping clients avoid impulsive investment decisions during market downturns.
Strategies include pausing dollar-cost averaging and refraining from reinvesting dividends.
Rebalancing portfolios to a more conservative allocation can help mitigate potential losses.
Advisors suggest clients sleep on decisions to avoid emotional reactions.
- Who
- Financial advisors and nervous investors.
- What
- Strategies to manage investor anxiety during market downturns.
- When
- In times of market volatility, such as in 2025.
- Where
- Financial markets.
- Why
- To prevent investors from making impulsive, potentially detrimental decisions.
- Author
- Jonathan I. Shenkman
- Occupation
- President & Chief Investment Officer
- Company
- ParkBridge Wealth Management
- Location
- New York
- Focus
- Retirement planning