By Nancy Hite, CFP, Fiduciary, CLU · February 6, 2026
Dear Clients and Friends:
As we cap off another tumultuous week in the stock market, I thought it would be valuable to share with you my perspective as a professional financial advisor with more than 25 years of experience.
We have all seen this before. Sharp up and down days in the stock market accompanied by rising volatility.
But as I have been sharing with you for years: “Volatility is the DNA of the market. It is not a matter of IF, it is a matter of WHEN.”
We all know that volatility will come to the stock market. We don’t know when it will come, but we do know that it WILL come.
And that is perfectly fine. We know that volatility will rise and then it will fall back down to a normal level again. It has always done this throughout history, and it will always do this.
There are several important lessons we can learn from times of volatility in the stock market, and there is cause for optimism:
1. The best investors view volatility and stock market declines as golden opportunities.
On Thursday, February 5th, we saw a sizeable draw-down in the stock market, especially large in some of the big tech stocks which had been falling recently.
On Friday, February 6th, the stock market and many tech stocks were up sharply. The Dow Jones index soared 2½ percent in one day!
Think about that! You earned 2½ percent in one day — it can take you 2½ years to earn that much interest from a bank.
Many stocks were up 3%, 4%, or more on Friday, and the Dow Jones Index hit a new all-time high of 50,000 that same day!
Lesson learned: treat declines in the stock market as true buying opportunities. Quality stocks are on sale! We all like to buy things that are on sale, especially quality goods.
Instead of panicking when the stock market falls, treat it as a buying opportunity. It’s time to go on a high-quality shopping spree — this is when it’s easier than ever to build wealth. To take advantage of these buying opportunities, give me a call or send me an email. We’ll go over your goals and properly position your portfolio for gain while managing risk.
2. Don’t be an emotional investor.
When the stock market is volatile and has one of its periodic corrections, emotional investors lose more than anyone else. They panic and sell stocks at the absolute worst time and take huge losses. Then, as the stock market recovers and goes on to make new highs (as it always does), emotional investors are the last ones to buy back in — still wracked with fear.
Don’t let emotions dictate your behavior, and don’t let emotions alter your financial plan.
Let your investment decisions be guided not by emotion but by calm logic and intelligence, and you will be richly rewarded over time. I help my clients invest with calm logic and intelligence — if you’d like to review and update your portfolio, set up a no-cost meeting with me, your financial planner, Nancy Hite, CFP.
3. What to do if you can’t handle the volatility of the stock market.
I understand that it can be painful to see losses in the stock market. I am a human being and, like you, I am an investor. Seeing red ink on the screen can be painful, even though I know it is only temporary and will, in the future, be green ink signifying gains and profits.
Some people just can’t handle the emotional roller-coaster of the stock market. Maybe they could handle the volatility when they were younger, but not anymore. I understand.
Fortunately, we now have financial products that can help you enjoy the profits from a rising stock market without having to worry about losses when the market goes down.
These products are called fixed index annuities (FIAs), and they are also designed to produce lifetime income. Some of my clients have owned FIAs for years — they’ve seen the gains and haven’t had to worry about the losses.
Also, if you own an old variable annuity (VA), you may lose money when the stock market or bond market falls. You can do a tax-free exchange of that old VA into a new fixed index annuity (FIA) and never have to worry about stock market losses again.
I have access to the best fixed index annuities on the market. If you’d like to learn more about FIAs, their benefits, and whether they’re right for you, give me a call or send me an email to book a no-obligation meeting or phone call.
As you’ve learned in this newsletter, you don’t have to fear stock market volatility. It is always temporary, and the stock market always recovers and goes on to hit new highs.
When the stock market is volatile, high-quality stocks go on sale. The most successful investors look forward to stock market volatility and seize the chance to buy high-quality stocks and ETFs at reduced prices.
And if you feel like you can’t handle any more stock market volatility, we now have FIAs that can enable you to enjoy a return linked to stock market growth while never having to worry about losing money when the stock market falls.
I look forward to our next conversation or meeting.
As always, your referrals are greatly appreciated.
Sincerely yours,
Nancy Hite, CFP, Fiduciary, CLU
(561) 929-4200
NHite@TheStrategicWealthAdvisor.com
