It’s hard to time the market, but you still need a plan

We’re just one month into the new year and inflation has continued to trend lower, even as consumer debt continues to rise. But as always, the investment world has been unpredictable, with head fakes both up and down. And politics continue to be politics.

Many economists have predicted a deeper recession and some financial experts have projected another difficult year for investors. There’s never going to be a foghorn signaling that all is good. Even with the recent snow, this winter has been relatively mild based on typical Michigan standards.

Meanwhile, other parts of the nation have had absolutely horrendous weather. As you may recall, the snow was so bad in Buffalo they moved one of their home games to the indoor comfort of Ford Field.

The point is that there’s never going to be a perfect weather day for everyone across the nation. Anything can happen on any given day.

Likewise, there will never be a perfect time to be an investor. When auto stocks are humming along, for example, airline stocks may be facing a strong headwind.

Conflicts or tension between nations can crop up at any time, too. It seems like there’s always some sort of political issue somewhere in the world. And they can impact our economy, which in turn can adversely impact the investment world. If you’re waiting for anything to be perfect, you may wait forever.

Even though there’s an abundance of skepticism, there may be some attractive investment sectors that are under the radar. I’m not suggesting speculating, but there are a number of reputable companies whose stocks have proven track records.

Of course, there’s no sure thing in this world, but with a little bit of research I’m confident you can find opportunities that might improve your financial wellbeing.

This is the time of year when most are gathering the financial information needed for filing their income tax returns.

Rather than just stashing all that data away after you’ve filed, I encourage you to go one step further and prepare a financial plan. One that focuses on both short- and long-term goals.

It’s a good time to tweak your existing plan or prepare a new one because, for lack of a better phrase, our finances need to be recalibrated. It’s a new playing field after the impact of COVID and our ongoing bout with inflation.

With account values off their highs, the analysis will likely project a more down to earth vision of the future.

The households that would most benefit from an updated financial plan are those that retired abruptly during COVID.

So much has changed in such a short time I think those who did the quick math to determine if they could retire may have their eyes opened by doing some thorough number crunching.

A financial plan can also help you focus on how much market risk you need to make to reach your financial goals. In essence, it’s a financial blueprint that can help you make more prudent financial decisions. And it provides a benchmark from which you can measure where you are on the path to your goals.

Achieving a goal without a plan is just a wish. Goal setting is important, even in a world filled with uncertainties.

Email your questions to kenmorris@ lifetimeplanning.com. Securities offered through Kestra Investment Services, LLC (Kestra

IS), member FINRA/

SIPC. Investment

Advisory services offered through Kestra Advisory Services, LLC (Kestra AS), an affiliate of Kestra IS. Society for Lifetime Planning is not affiliated with Kestra IS or Kestra AS. https://kestrafinancial. com/disclosures The opinions expressed in this commentary are those of the author and may not necessarily reflect those held by Kestra Investment Services, LLC or Kestra Advisory Services,

LLC. This is for general information only and is not intended to provide specific investment advice or recommendations for any individual. It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation. Comments concerning the past performance are not intended to be forward looking and should not be viewed as an indication of future results.