Retired couple enjowing a drink on the sofa

Regardless of how logical and analytical we might like to feel we are, most of our decisions are based on emotion rather than logic and analytics. That is (obviously) because we are all human not machines so all our main drives (over and above our basic needs) are based on emotion.

Yet most mature money management and financial strategies appear to be counterintuitive and do not follow conventional wisdom, particularly in this era of instant news and reaction. With our clients we help them to understand why lots of this noise is just that, Noise and we help the be relaxed and help them to recognise what is really important, and not fall foul of the media’s potentially destructive influence.

Understand why periods of volatility are good news! Make consistent contributions to your portfolio.

Besides struggling to accept volatility, many people are skittish about the markets because they feel powerless. Money goes in, and decades later, who knows what’s going to come out. They feel that politicians, corporations, and geopolitical tumult will have the final say in how big their retirement nest egg grows.

However, often the biggest factor that determines the success of your investments is simply contributing new money on a consistent basis. As mentioned in the earlier post, historically the markets have trended upwards in the long run, although past performance is no

guarantee of future returns and the value of your investment can go down as well as up and you may not get back the full amount you invested.

I mentioned above about investing often seeming counter intuitive, well market volatility is a good example.

Everyone loves a sale or a bargain, an opportunity to buy something at a lower price (witness the January sales, the rise of the Black Friday sales or Blue cross events) and yet most people who look at investing, look for the thing that is rising in price the fastest and invest in that! (?) Or worse still they witness these (temporary) falls in price and sell as its losing money, crystallising loses.

The experienced investor sees these periods of volatility as opportunities, a period to invest more and not pay over the odds but to get “more bang for my buck”.

For the relaxed investor who is content with the amount they have already invested and don’t want to buy anymore assets, they also recognise that these “sales” (periods of volatility) are all part of the investment landscape of ups and downs as investment values fluctuate. After all, January sales are only in January, and the Black Friday event is only one day a year, so they understand that the impact of these events is only short term, so as long-term investors, they stick to their long term strategy so both types of investor can remain relaxed.

If you want to find out just how relaxed you can or should be about your financial future, then why not contact us for an initial consultation (at our cost).

Contact Hartcliff on 01226 446135 or email



Hartcliff is a trading name of Hartcliff Limited, which is a limited company registered in England & Wales
No. 09321837 Registered Office: Marland House, 13 Huddersfield Road, Barnsley, S70 2LW

Hartcliff Limited is an appointed representative of Sense Network Limited, which is authorised and regulated by the Financial Conduct Authority

The information contained within this website is subject to the UK regulatory regime and therefore targeted at consumers in the UK.