We’ve seen the markets ticking higher, with six consecutive weeks of gains. Yesterday, the S&P 500 reached its highest level since April and was within 10% of the all-time high of Oct. 9, 2007. Even so, with much of Europe on holiday and trading volume being low, there is a sense that investors are holding their breath, waiting for Europe to get back from vacation, for the next policy announcement, for the next big headline to move the markets.
Although we are aware of the risk that may lie ahead in the markets, Payne Wealth Partners managers are committed to avoid the short term “wait and see” mindset. During times of low volatility we continue to rebalance portfolios, replenish cash reserves, and get poised to take action on behalf of our clients should market-moving events provide the opportunity. Although we like to see markets moving higher and are optimistic in the long-term, we remain fully alert and aware of unresolved political and economic issues that could creep up and spook investors in the near term. We believe that the discipline of staying invested during uncertain times, along with the ability of being nimble and ready for market volatility, will continue to add value to client portfolios.