Market volatility is here again: 5 ways to keep calm and carry on

When stock markets are volatile, it’s time for calm heads and logical decisions.

The situation in the Middle East is unfolding rapidly and threatens the lives of many civilians in multiple nations.

It will also have commercial impacts – several stock market indices opened down on Monday 2 March – and we may well see this kind of volatility continue over the coming days, weeks, and months.

We know that falls in share prices may understandably make you nervous, as it could feel like you’re losing money in real time.

However, reacting immediately during market volatility (for example, by moving invested wealth to cash) is normally a mistake.

So, as we enter these most uncertain times, we want to give you five reasons to keep calm and carry on.

1. Be guided by history

History tells us that staying invested when markets are volatile has consistently worked.

At the start of the Covid-19 pandemic, for instance, the UK FTSE 100 dropped off a cliff edge. But by mid-2022, the index had rebounded, and in February 2026, it reached an all-time high. [1]

Any investor who had offloaded shares in 2020 would have missed out on the substantial recovery that followed.

While past performance is not a reliable indicator of future performance, historic market trends are a reassuring reminder that markets can recover and reach new highs, even after severe volatility.

2. Stop checking your portfolio every day

We live in an age of information overload. You could spend all your waking hours consuming global news (and you wouldn’t come close to finding out everything that happened that day).

So, the temptation to check in on your investment portfolio daily or weekly is only natural. In an upswing, seeing the numbers climb is likely to boost your mood. Now that markets are experiencing volatility, checking in will probably have the opposite effect.

Remember – checking your portfolio once a quarter, or even once a year, should be plenty.

Note: If you’re currently decumulating your portfolio and need to check in more often, professional advice can help you determine your next steps.

3. Think of investing as a habit, not a game

Trading apps make it tempting to gamify the stock market.

Picture this: your portfolio dips, so you move it to cash to prevent further damage. This might feel like a smart move – one that puts you in the driver’s seat. You’re winning the game, aren’t you?

In reality, you just converted a hypothetical financial loss into a real one. If you want to shake this mindset, it helps to consider investing as a habit, not a game.

Create a payment schedule that works for you, keep it up, and leave your portfolio alone. Let markets do what they’re going to do and focus on your long-term plan.

4. Remember what you’re investing for

You probably have important goals you’re working towards, and your investment portfolio could play a big part in achieving them.

Rather than giving in to the anxiety that comes with market downturns, revisit your goals. This exercise may strengthen your resolve and motivate you to ride out market volatility.

5. Speak to us

We understand that financial decisions are not always logical. It’s very common for emotions to take over when your wealth – and therefore, your future – feels threatened by events outside of your control.

We can offer reassurance and regulated guidance no matter what happens next. Get in touch today.

Please note

This communication is for general information only and does not constitute advice. The information is aimed at individuals only.

Please do not act based on anything you might read in this communication.

All information is correct at the time of writing and is subject to change in the future.

The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.

Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.

Sources

[1] FTSE 100, London Stock Exchange