E. H. “Chip” Stanley Jr.
Senior Vice President, Wealth Management; Chartered Retirement Planning Counselor; Certified Wealth Strategist, Great South Advisory Group, a professional investment team within Janney Montgomery Scott LLC
While this week’s stock market volatility has, undoubtedly, been financially devastating for some investors, many local investors are seeing the current climate as one ripe with opportunity, Stanley said.
“Actually, more clients have been interested in seeing if we should add anything to their holdings,” Stanley said. “I have not seen any fallout from my clients whatsoever … It’s been a busy week, but we have been reaching out to our clients to see how they are feeling about the current market conditions and to review with them our beliefs that investing is about time in the market versus timing in the market.”
According to Stanley, Janney’s Investment Strategy Group believes the recent volatility is a correction within a longer term upward moving market and that the U.S. markets will build back.
“The markets will continue to exhibit volatility. That will be with us for a while, but Janney thinks the U.S. market is resilient, and feels it will move higher over time,” Stanley said. “We also think developed markets, particularly Europe, are attractive from a comparative and longer-term valuation. We are not as comfortable with emerging markets at this time.”
Stanley does not foresee any large-scale sell-offs by area individual investors because of the recent volatility.
“At least not among our clients,” Stanley said. “But this is a time to review your needs, goals and time horizons. For some situations, perhaps a reallocation among assets may be warranted. Too frequently, however, investor behavior leads to selling at the wrong time. That pertains to buying, too.”
While the recent move down has not been pleasant, it is an overdue market correction, Stanley said, based on average historical measurement.
“Clients have, so far, been resilient to this current situation and unless there is something more foreboding lurking, which Janney does not see, we believe that clients will maintain their investment posture,” Stanley said.