Investing Through Uncertainty

Written by Brad Laird

Markets have been on a rollercoaster in recent weeks, shaken by tariff headlines and rising uncertainty. President Trump appears willing to accept short-term economic and market disruption to push through broader political and economic goals. Naturally, this has left many investors questioning their next move.

The stability of global trade is being put to the test. Trump’s attempts to quickly dismantle long-standing trade practices have created significant ripple effects, disrupting investment confidence.

Recent volatility, as measured by the Volatility Index—often called the “uncertainty index”—has echoed the sharp spikes seen during major events in 2008 and 2020. Yet amid the noise, it’s worth zooming out. While the S&P 500 is down about 14% from recent highs, it's still up roughly 4% year-to-date. This isn’t uncharted territory, and history shows markets have bounced back from far worse.

That’s why for long-term investors; the fundamentals have not changed. In a shifting world, adaptability is what sets strong businesses apart. Companies that can evolve, stay relevant, and meet consistent demand are the ones best positioned to deliver over time.

As financial writer Morgan Housel put it, “Thinking of market volatility as a fee rather than a fine is an important part of developing the kind of mindset that lets you stick around long enough for investing gains to work in your favour.”

Volatility can be uncomfortable, but it also creates opportunity. One of investing’s core principles is simple: the higher the price you pay, the lower your expected return. When prices fall—especially for high-quality businesses—investors that stay calm, stick to their strategy, or even lean in during market dips, history suggests the odds are in their favour.

Salt’s focus remains on constructing resilient, diversified portfolios that can weather volatility while staying aligned with long-term objectives. Book in a meeting with our Financial Adviser to find out more.