by Austin Boyce, Advisor & Trading Analyst

2025 has given us plenty of ups and downs, and we are only four months into the year! Some of you have proactively expressed your concerns and questions during our Annual Review meetings, specifically questioning whether the current economic climate warrants a new direction for our investments. The answer to that is always, “It depends.”

While it can be easy to get caught up in the daily headlines that often skew negative, playing on our fears, it is important to remember that volatility is normal. One of my favorite analogies for investing in the stock market is yo-yoing while walking uphill. The short-term swings may take you up and down, but over time, you'll find yourself higher on the hill.

It can be helpful to think of a downturn as the price of admission to the market instead of a penalty. Enduring the downturns means you can enjoy the upswings. The chart below shows intra-year declines and the total return for the S&P 500 by year. Looking at last year, you can see the market was down 8% at one point during the year, but was up 25% from January 1st to December 31st.

At SoundView, we work closely with clients to develop a financial plan, which includes an investment strategy designed to withstand market downturns. We understand that volatility is a matter of when, not if, so we utilize a globally diversified portfolio that aligns with client needs and risk tolerance, ensuring we have a strategy that can ride out the market’s yo-yo moments without losing sight of the uphill climb.