July 24, 2025
4
 minute read

Don't Jump Overboard: The Real Cost of Panic

Written by
Jeremy Askew

Back in April, just after Trump's Tariff Day, the world of investing looked like a bleak place.

Any number of experts were promising all sorts of Armageddon.

You were nervous, we were nervous - all we had to help you was the tried and tested;

"stick with the strategy"

"this time is NOT different"

"things will improve, try not to worry"

"ignore the headlines"

'don't look at your balances", etc.

You heeded our advice and are now being rewarded for your patience and resilience.

As I am wont to say, it is in these moments - when things get sketchy, when the sirens start shrieking louder and louder, when your nerves start jangling - that we earn the majority of our fees by helping you stick to the financial plan and investment strategy that we, together, have created and managed through thick and thin to great effect.

And that, for me, reflects the implicit trust we both have in each other.

No amount of technical knowledge or exam passes or, dare I say it, years in the business matter as much as this very human element - trust - and I believe that we and you have it in spades.

It's a very precious commodity and we work tirelessly to build it and maintain it. And you have been rewarded as a result.

Alas, in the recent (non) crisis one family decided to jump overboard and swim for it.

I have no idea if they did what we refused to do for them. If they did, they are £150,000+ worse off than they otherwise would have been. Money they will likely never see again. The sharks (read "financial headlines and talking heads") have eaten them alive.

They took a huge risk ignoring us and it has cost them greatly. 

If they came back to us, there's nothing we can now do to help. I am not gloating at their misfortune; it saddens me we could not get through to them.

So, some 15 weeks after Trump did what he did, where are we? 

Shambolic governance in the UK, big tax rises in the offing. Never-ending nonsense in the US. Trouble and strife in Ukraine and the Middle East.

About the same as in April if I'm honest.

But, also, we have both the US and UK stock markets at all-time highs.

The prospects of all the big companies around the world have never been rosier according to the millions of investors deciding where to put their trillions to get the best return, despite various politicians' best efforts.

That tells you a lot about the enduring power of capitalism and the two fingers it regularly sticks up at the politicians and governments that regularly try to get in its way.

The stock markets are truly (much more often than not) rational in what appears to be an increasingly irrational world. They are by the people, for the people in ways very little else is. 

"Stock Markets - Power To The People!"

Let me end with less emotion.

Things are almost as good as they have ever been with your investments (except the dollar has inexplicably weakened against the pound) but that does not mean it is 'over', and it did not happen by accident.

A storm has passed, you have survived in good shape, but the next one is brewing.

It will always be thus, and our messages to you will never change, and the outcome will always be the same.

All you have to do is not jump overboard.