No one thinks it is a good idea to take financial advice from random people on Facebook. However, Boldin users prove time and time again to be a savvy group with rational and useful guidance for each other.
Here are 7+ very insightful reactions to last week’s tariff turmoil.
(Just be sure to remember that this is not advice. Afterall: “It’s tough to make predictions, especially about the future” -Yogi Berra)
1. Buy
Buy low sell high is the classic piece of investing advice and many Boldin users jumped into the market last week to buy stocks at what they believe to be a discount.
Here is what a few people had to say:
Gary: “If you’re able to, it’s certainly a good time to buy.”
Paul commented on Wednesday when the market rebounded: “It’s a great time to buy while the market is…. awwww nevermind….”
Katy was taking small new positions in stocks she favors: “I’m nibbling…. Favs on sale.”
Kim: “Remember: the market doesn’t stay down. I am 3 years from retiring. I increased my contributions to 10% to take advantage of a cheaper market. I did the same in 2020, and my account came booming back. If you sell low, you are selling MORE shares than when the market is high. My future financial advisor said he will invest to protect my investments during these crises. Everyone should have a plan.”
Consider buying, but exercise caution
A few users were in favor of buying, but cautioned about timing.
Kevin opined: “Although I agree that a down market is a good time to buy, I believe that the market has much further to drop before it gets back to reasonable, long-term averages for valuations. The market has been over valued significantly over the past few years compared to historical averages. I’m keeping an eye on the market and will consider buying more stocks after the market fall about 50% from the highs. If I had to guess, this will happen within the next 3 months.”
2. Reconsider Ideal Asset Allocation
There was a lot of discussion around the ideal asset allocation and whether or not target allocations should shift during a downturn in the markets.
Asset allocation is the strategy of dividing your investment portfolio among different asset classes—typically stocks, bonds, and cash equivalents—with the goal of balancing risk and return based on your financial goals, time horizon, and risk tolerance. The mix you choose plays a crucial role in shaping both the growth potential and the volatility of your portfolio. While market timing and individual investment choices get a lot of attention, studies show that asset allocation decisions are one of the most important factors in long-term portfolio performance.
A classic example is the 60/40 portfolio, which allocates 60% of the investment to stocks (for growth) and 40% to bonds (for income and stability). This blend is considered a moderate risk strategy and has historically been used by investors aiming for balanced growth while managing downside risk.
Here are some observations about shifting allocations during a market crash:
Stephen commented to someone who has a 20/80 split (20% in stocks and 80% in bonds) and was considering flipping their allocation to mostly stocks to take advantage of the low prices: “20/80 tells me you are either very conservative investor, or already in retirement. Either way, a 80/20 flip, for me, would be fully into freak out land… I don’t think the current market drop warrants such a drastic change… but then if I knew anything worthwhile I’d be a billionaire by now! But if you want to take on a little risk… for the potential gain… live a little… go 40/60…”
Glen was also considering a shift toward a more aggressive allocation: “I’m getting ready to shift from our current 60/40 to 70/30. I’m “saving” another 10% (going to 80/20) if the market drops even further, at which point, I will hold until the market recovers. By the way, we are in our mid-to-late 70s and have been retired for 12 years now.”
Matthew: “I’m already retired. Went heavy into cash to 50/50 about a month ago and now buying back to 60/40 over the next two weeks.”
If reallocating, go slow
However, the most prevalent piece of advice to people considering a shift in their target allocations was to: “Go slow.”
Gradually adjusting your portfolio over time, you can reduce the risk of buying in right before another drop. This approach aligns with dollar cost averaging, where you invest a fixed amount at regular intervals, regardless of market conditions. It helps smooth out the cost basis of your investments and lowers the emotional pressure of making a big move all at once. In turbulent times, patience and a phased strategy can lead to better long-term outcomes and help keep your financial plan on track.
- Use the Boldin Planner to run scenarios on asset allocation. Try shifting your returns and see how your projections change.
3. Consider Rebalancing
Rebalancing is the process of realigning your investment portfolio back to its target asset allocation—essentially resetting the mix of stocks, bonds, and other assets to stay in line with your long-term plan.
Market swings can cause your allocation to drift; for example, if stocks outperform, your portfolio might become more heavily weighted toward equities than you intended, increasing your overall risk.
Rebalancing typically involves selling some of the outperforming assets and buying more of the underperforming ones.
- Many investors rebalance on a set schedule (like annually or semi-annually)
- Others do it when their allocation drifts a certain percentage away from target.
Either way, it is a disciplined way to manage risk, lock in gains, and avoid letting emotions drive investment decisions.
Here is what Boldin users had to say about rebalancing during the tariff turmoil:
Frank: “My plan is to rebalance twice a year. June and December. A little scary because to rebalance right now requires a decent amount of money.”
Harvey: “I believe the standard rebalancing trigger is a date/time of year, or when portfolio asset allocation deviates a certain amount from a predetermined percentage. I have always been an “opportunistic rebalancer”– and do not consider it pure market timing to rebalance when there are significant declines in the stock market. I believe this is a non-emotional way to buy low and sell high. For example, when stocks had there run up in 2023 and 2024, I rebalanced and took money out of stocks…. during this recent decline, I did move some cash over to buy stocks. This type of investing behavior will result in overall increased returns, over a lifetime of investing… BUT… it can lead to the temptation to be a market timer, which we all know is a long-term losing proposition…”
Tony: “Remain calm. Check your current allocation and adjust as necessary to match your long term allocation target.”
Actively deciding not to rebalance
A few Boldin users decided not to rebalance last week, deciding that the week was too turbulent and it would be better to wait until things calm down.
Mike: “I don’t think I’d rebalance in the middle of volatility. That becomes market timing in a sense. I’ve heard to approaches… range it can float as guard rails and then you trigger a rebalance if it goes over; or just do it on a calendar.”
Moody: “Agree with other comments on not rushing to rebalance. You’re probably now at 56/44 which is appropriate for someone close to retirement. If the market keeps going you’ll naturally get to 60/40 and beyond.”
4. Doing Nothing, Definitely Not Selling
By far the most common piece of advice that Boldin users had to offer each other was: do nothing!
George: “You never ever ever sell when it is down. The only time you sell if you need to buy food or pay rent. Otherwise there is no bottom: sit and wait.”
Lisa: “Shut off the news and go to a movie. There is nothing to do right now.”
Greg: “Stay the course. Don’t forget the most important body organ when investing – not the brain, not the heart, but the stomach – so you can “stomach” the downturns.”
Rob: “Stay put. If you sell now, you’ll miss out on the upswing. I remember people panicking in 2008, pulled their money out, missed the upswing and never regained. Also during Covid people panicked and pulled money out. Resist the panic and stay put.”
Gary: “If you have years of cash, CDs, bonds etc you can live on, it’s historically worthwhile to stay long on the stocks. Hold. As an example, in a 70/30 portfolio, times like this are when you let the ‘30’ do the work.”
Kyle: “As long as you kept enough liquidity in cash and bonds for 4-7 years out there is no need to sell or worry. You don’t lose anything unless you sell when you’re down. Sell when the market is up to replenish your cash bucket.”
Kevin: “Although I agree that a down market is a good time to buy, I believe that the market has much further to drop before it gets back to reasonable, long-term averages for valuations. The market has been over valued significantly over the past few years compared to historical averages. I’m keeping an eye on the market and will consider buying more stocks after the market fall about 50% from the highs. If I had to guess, this will happen within the next 3 months.”
Dave: “Ok, I am the last person to predict what will happen, but assuming you can live off the 30% for a number of years, you may want to stay the course.”
Kyle: “As long as you kept enough liquidity in cash and bonds for 4-7 years out there is no need to sell or worry. You don’t lose anything unless you sell when you’re down. Sell when the market is up to replenish your cash bucket.”
Brad:” I don’t sell low never have. That is not a part of my plan that i made for times like this long before i retired. Markets drop 10-19% about every 15 months and drop 20%+ every 7 years on the average. This is just part of investing. And a good time to buy of do ROTH conversions for those that can afford to. For those that get fearful and may sell low there is a reason for some to have an advisor that takes care of their finances.”
Janette: “Keep calm and walk on. Don’t lock in lows. Buffett has been selling for a year- while it was incredibly high. He still isn’t buying. Don’t panic.”
Jerry: “Using the 3 bucket system, no need for me to do anything.”
5. Relying on Fixed Income
If you have adequate fixed (or guaranteed) income in retirement—meaning reliable sources of income like Social Security, pensions, annuities, or interest from bonds—you’re in a strong position to weather market crashes without making emotional or hasty investment decisions. Fixed income provides steady cash flow that covers your essential living expenses, which means you’re not forced to sell investments at a loss during a downturn to fund your lifestyle. Since your day-to-day needs are met regardless of market performance, you can afford to leave your stock investments alone and give them time to recover.
This financial cushion allows you to stick with your long-term investment plan and avoid locking in losses during periods of volatility.
Glen: “I don’t rebalance as in the long run that just reduces growth for me. I keep enough $’s of fixed income to cover my needs for several years of down turns.”
Laura: “I can handle high risk portfolio, which prompted me to consider 80/20 at this point in time. My current pensions including social security benefits are more than enough to cover my monthly expenses and some international travels. However, I decided to start at 70/30 today and probably change it to 60/40 or 50/50 depending on the progress in the stock market this quarter.”
Jaime: “Retired 6 years. I’m 80% in equities/ 20% in preservation, but not dependent on my nest egg ( all Roth) due to pensions and SS.”
5. Roth Conversions and Tax Loss Harvesting
A market downturn can be a good opportunity for roth conversions and tax loss harvesting.
Roth conversions
A Roth conversion during a market crash can be a smart tax strategy because you’re moving assets from a traditional IRA (which is taxed on withdrawal) to a Roth IRA (which grows tax-free) when those assets are temporarily depressed in value. By converting when the market is down, you pay taxes on a lower dollar amount, which could significantly reduce your overall tax bill. Then, as the market recovers, all the growth happens inside the Roth account—completely tax-free.
This move is especially compelling if you expect to be in a higher tax bracket in the future or want to leave tax-free assets to heirs. Just keep in mind that Roth conversions are irreversible, so it’s important to make sure you have cash on hand to cover the tax bill without dipping into retirement funds.
Peter: “Do a Roth conversion. In March 2020 I converted 60K when the market tanked due to Covid. I wish I had converted more. Even with the current market decline it’s worth double what it was in 2020.
Jim: “I don’t sell low never have. That is not a part of my plan that i made for times like this long before i retired. Markets drop 10-19% about every 15 months and drop 20%+ every 7 years on the average. This is just part of investing. And a good time to buy of do ROTH conversions for those that can afford to. For those that get fearful and may sell low there is a reason for some to have an advisor that takes care of their finances.”
Tax loss harvesting
Tax loss harvesting is the practice of selling investments that have dropped in value to realize a capital loss, which can be used to offset capital gains and reduce your taxable income. During a market crash, it’s a valuable strategy because many assets may be temporarily underwater, giving you an opportunity to capture losses for tax purposes while reinvesting in similar (but not identical) assets to stay invested. It’s a way to make the most of a down market by turning paper losses into potential tax savings.
Tara: “I just gleefully exercised a loss which will help reduce my taxable income (and healthcare subsidies) tax issue that I anticipate I’ll have this year. And I just happily bought low.”
Tim: “My cash account was overly complex (thanks to a AUM financial planner)… tons of overlap and complexity. I’m tax loss harvesting and using the opportunity to redo how my portfolio is setup. Next step will be thinking through roth conversions.”
Diana: “Great time for tax loss harvesting and roth conversions.”
6. Tighten Up Spending
People who rely heavily on their investment portfolio to fund living expenses—especially those who are retired or close to retirement—may need to tighten up spending during a market crash to preserve their assets. When markets are down, withdrawing too much from a portfolio can lock in losses and reduce its ability to recover, a risk known as sequence of returns risk.
Others who might need to cut back include those with unstable income sources, like freelancers or small business owners, since economic downturns can impact jobs and revenue. Even for people with secure income, temporarily tightening spending can help reduce stress, create flexibility, and avoid unnecessary selling at the worst possible time.
Gary: “During times like this, I think its important to look at “must spend” vs. “like to spend” a lot more than normal. As an example, quick math says that if you can (temporarily) tighten your belt and live on 75% of your normal target monthly budget, that’s like getting 3 months ‘for free’. Adjusting spending is the thing we have the most control over. I’m trying to look at things in any kind of realistic or even positive way I can. If we all go into a lockdown mode, so to speak, (1) we all learned how to do this during the pandemic and (2) this time we’re not contagious, and can still get together at night and on weekends for dinners, barbeques, etc. Hunker down.”
Denise: “If you don’t need the money soon, I would just leave it alone. I’m focused on what I can control at this moment. I can control my spending. I can take care of my health. I can be grateful daily for all the good in my life.”
Jim: “Tighten your belt on spending and Part time work before selling at a loss (if able).”
7. Stick with Your Retirement Plans
If you have a plan for retirement and that plan has been pressure tested, don’t use the market turmoil as an excuse to delay your plans.
Azul Wells is a Boldin partner. He didn’t directly address the market crash on his YouTube channel, but he published a video titled 5 things you need to hear. And, the advice is important to hear during the market uncertainty. Don’t use the market crash as an excuse to delay your retirement.
Devin Carroll another Boldin partner also advised that you continue to pursue retirement in his video: Don’t let a bad market ruin your retirement plans
Create a plan with the Boldin Retirement Planner. Run what if scenarios to pressure test the plan against major risks. And, retire! Live the life you want to live. Time is more valuable than money.
And, Here’s More Advice from Boldin Partners
Rob Berger
In a video this week titled, 7 Tips On How to Survive a Market Crash, Rob Berger listed three things he personally is doing/not doing. He:
- Is not selling
- Will rebalance if his rebalancing plan is triggered
- Is keeping a long term perspective
Joe Kuhn
Joe Kuhn published three new videos last week:
About Boldin
The Boldin Planner is powerful software that puts you in control. It’s almost like having a financial expert at your fingertips. Research shows that people with a written financial plan do 2.7 times better financially. They’re also 54% more likely to live comfortably in retirement. That’s not luck, that’s taking control of your money. The Boldin Planner has been named the Best Financial Planning Software of 2025 and the company was selected as a Top Innovator in UpLink’s Prospering in Longevity Challenge and named to the FinTech 100 by CBInsights.
The tool is ideal for planning because it covers a comprehensive set of information relevant to retirement and lets you customize everything – including your own life expectancy.
