At Wells Gibson, we know that recent stock market volatility—particularly over the past few weeks—has likely caught your attention. It’s completely understandable to feel uneasy when markets dip sharply. But it’s important to remember: this kind of movement is entirely normal and expected within a well-structured financial plan.
Short-Term Noise, Long-Term Vision
Lately, markets have been unsettled by renewed global trade tensions, triggered by President Donald Trump’s announcement of sweeping tariffs on imported goods. These events have sparked plenty of headlines and speculation, but one thing remains clear:
It is impossible to predict how policies will unfold—or how markets will react in the short term. Forecasting outcomes without the benefit of hindsight is like trying to read tea leaves or polish a crystal ball. That’s why our investment philosophy is built around long-term resilience, not knee-jerk reactions.
“In investing, activity is almost always in surplus.”
— Charles Ellis
Good or bad news doesn’t mean your portfolio needs to change. Sensationalist headlines like “Global markets in meltdown” (The Times, 4 April) are designed to provoke anxiety—not to guide wise investment decisions. Sometimes, the best course of action is to turn off the news, go for a walk, and stay focused on your long-term goals.
A Historical Perspective on Volatility
The figure below demonstrates that market declines are frequent, but the trend of stock market growth is clear. Volatility is the price of admission. The orange area represents the size of the fall from the previous peak (right hand axis), and the grey line the growth in £1 (left hand axis).
Figure 1: Putting market falls into context
Source: Albion Strategic Consulting. Vanguard Glb Stk Idx $ Acc. Data in USD from 05/08/1998 to 08/04/2025. Daily returns.
You’re Doing the Right Thing
If you haven’t been checking your portfolio or stressing over the markets, you’re doing exactly what we would encourage. That’s not just okay—it’s wise.
At Wells Gibson, we continue to monitor developments closely. However, you’re unlikely to see sudden changes in your portfolio, because our investment decisions are rooted in long-term thinking, not short-term news cycles.
Let’s Stay Connected
Please remember we are always here to support you. If you ever feel uncertain or simply wish to talk things through, we’d be more than happy to arrange a call with a member of our team.
Whether it’s to ask a question, review your plan, or just gain some reassurance, know that you are not alone—we are by your side, every step of the way.
Important notes
This is a purely educational document to discuss some general investment related issues. It does not in any way constitute investment advice or arranging investments. It is for information purposes only; any information contained within them is the opinion of the authors, which can change without notice. Past financial performance is no guarantee of future results.
Products referred to in this document
Where specific products are referred to in this document, it is solely to provide educational insight into the topic being discussed. Any analysis undertaken does not represent due diligence on or recommendation of any product under any circumstances and should not be construed as such.
