There was no shortage of news stories in 2015 that had the potential to induce a certain amount of fear and anxiety in investors. How many times have we discussed rising interest rates? Stock market volatility is an ever-present topic of conversation in the financial world, and global events, such as the attack on Paris not long ago, are unpredictable and impactful.
These kinds of happenings can be stressful and scary, and they can certainly affect our financial health. What exacerbates the situation is the 24-hour news cycle and the readiness of the media to report on the crisis du jour. Positive economic trends are often overlooked by the media, and in fact only eighteen percent of economic news is viewed as ‘good news’ by the public. Financial advisors may be finding themselves in the position to provide their clients with advisor therapy, acting as a sounding board for their financial fears and finding ways to alleviate their anxieties and prevent them from making irrational, impulsive financial decisions.