In 2025, the news cycle is non-stop. With the news moving a mile a minute, it can be very stressful. No matter what type of news you’re following, there’s no doubt that consuming too much news can often influence your financial decisions. However, for a successful retirement, it may be helpful to block out that noise and stay focused on your long-term goals. In this article, we’ll review strategies to help you remain focused on your financial goals amidst the news, so you can work toward success in retirement.
Contents
Market Hype or Market Reality?
While it has been a volatile year in the financial market, it’s important to recognize the difference between market hype and market realities. Taking a historical perspective, markets tend to be volatile during the first year of a new presidential administration, especially when there is a change in political party. However, over the long term, presidents and political parties have not consistently driven market performance. While certain sectors may perform differently under specific administrations, overall market outcomes are typically shaped by broader economic factors.
Currently, there are many developments in Washington, DC. Efforts are underway to extend the tax cuts originally passed in 2017, eliminate taxes on Social Security income, and place caps on Medicare premiums. Additionally, trade policies and tariffs continue to evolve. These legislative efforts could potentially affect retirees, but the outcomes remain uncertain. This uncertainty contributes to market volatility, but that doesn’t mean your portfolio must be equally volatile.
Evaluate Your Portfolio
Now may be a good time to step back and evaluate your portfolio. Ask yourself: as the market has declined recently, what assets in my portfolio have held steady or increased in value? When the market is rising, are there assets that remain flat? Do I see resilience in my portfolio? This type of analysis can help you determine whether your portfolio is built to weather various types of market and economic events.
A resilient portfolio typically includes diversified assets that respond differently to market movements. This kind of balance allows some holdings to rise while others fall, which can help reduce overall risk. Consider how your portfolio is positioned to respond in both up and down markets.
It’s also worth remembering that long-term strategies tend to be more effective. Short-term market fluctuations can cause emotional reactions, leading to decisions that may not align with your retirement income strategy. Attempting to time the market is rarely effective, and getting back in after moving to cash can be challenging.
The Benefits of a Long-Term Focus
Moving to cash or exiting the market altogether may seem like a simple decision. However, determining the right time to reinvest is difficult and often results in missed opportunities. Since no one can accurately predict market movements, it may be more effective to maintain a long-term investment strategy.
Consider the past five years—through a global pandemic, political transitions, and economic uncertainty, markets have still seen substantial growth. Staying focused on long-term goals and avoiding emotional investment decisions may help you navigate uncertain periods.
If you’re interested in learning how to position your portfolio to manage financial volatility, check out our free guide, “Design Your Financial House to Weather the Storms.” In this guide, we outline how we help successful clients at REAP Financial structure their portfolios to stay resilient during challenging times. To receive your free copy, email retire@reapfinancial.com and we’ll send it directly to your inbox.
Preparing for Retirement in Uncertain Times
At REAP Financial, we work with successful families who have saved consistently in their 401(k)s, paid off their homes, and sent their children to college. Many expect retirement to simplify their financial life but are surprised by new complexities. From claiming Social Security benefits to tax planning, Medicare premiums, and retirement income planning, retirement often requires comprehensive coordination.
That’s why many families choose to work with a fiduciary adviser. Our team of fiduciary advisers at REAP Financial helps design personalized retirement strategies that aim to protect your income during down markets and help you benefit during market growth.
Get Your Free 60-Minute Tax Savings Analysis
If you’re considering partnering with a financial adviser in the Austin area, we invite you to take advantage of a complimentary tax savings analysis. During this 60-minute session, a fiduciary adviser from our team will walk you through strategies to help maximize your Social Security income, evaluate your current tax liability, and determine whether you may be ready to retire today.
This kind of analysis can be eye-opening. Some clients learn they have already saved enough to retire, while others discover they need to make a few adjustments to meet their financial goals. Either way, having clarity around your financial position can be a powerful step toward retiring with confidence.
To request your free tax savings analysis, email us at retire@reapfinancial.com.
If you want to learn more, check out this article that highlights how making emotional choices can affect your financial future.
Contact Us
Phone: (512) 249-7300
Email: retire@reapfinancial.com
Office Address: 9414 Anderson Mill Rd #100, Austin, TX 78729
Chris Heerlein, a Texas native, is the CEO of REAP Financial and founder of REAP Private Client Group (RPCG), specializing in wealth creation, preservation, and growth for affluent individuals, business owners, and executives. RPCG provides expert financial and investment advice, advanced tax strategies, business succession planning, and unparalleled client service. Chris is a trusted financial advisor, author of Divorce With Dignity (2019) and Money Won’t Buy Happiness But Time to Find It (2017), and a columnist for Kiplinger Personal Finance Magazine.
He has been featured in Fortune, Money Magazine, Bloomberg Businessweek, and U.S. News & World Report. Chris also hosts Wealth Radio on NewsRadio KLBJ and is a sought-after speaker. Based in Austin, Texas, he lives with his wife, Hannah, and their three children and actively supports charitable causes.
