Can Your Portfolio Survive the Next Drop in the Market?

Welcome to Sterling Newton

No airplane can take off without a flight plan and no ship can sail without a plotted course.  So, it just makes sense that no family or business can anticipate a successful, worry-free financial journey, especially across more than one generation, without a coordinated financial, investment and estate plan.

Sterling Newton oversees the financial affairs of a select group of families and businesses throughout the country. By consolidating all facets of our clients' financial affairs into a carefully constructed financial plan (wealth management)... We are able to manage our clients' assets more effectively, which means minimizing taxes, increasing cash flow (income) and securing their desired lifestyle without fear of outliving their money.

To schedule a time to discuss your retirement future, contact us at or call us at (904) 482-1131.


Investors lost $30 trillion in market value during 2008, according to Bloomberg.

How much of that was yours?

The recent bear market was just the latest in a long string of market declines that have pummeled family finances. Here are a few examples:

  • From early 1973 to late 1974, the S&P 500 Index lost nearly 50%
  • In just 10 trading days in October 1987, it plunged 31%
  • During the 2000-2002 bear market, the widely watched index lost nearly 50%
  • From the October 2007 peak to the March 2009 , the S&P 500 lost more than 50%

Clearly, devastating declines in the stock market happen with frightening frequency.

There are some people who believe that the best investment strategy is to simply buy a diversified portfolio and hang on to it for dear life (and for years) through the roller-coaster markets. Try telling that to investors who are still underwater on investments that they’ve held for more than a decade.

We believe that buy, hold, and hope for the best is not an investment strategy. It’s a train wreck.

Billionaire investor George Soros said, “It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong.”

Nobody can predict the future, but there are sensible proactive risk management strategies that investors can implement to help limit their exposure to these massive market meltdowns. Remember, a 50% loss means you need a 100% return to get back to break even. That’s a tall order in any environment.

One of the tools we use at Sterling Newton to help investors assess the risk in their portfolio is the Family Index Stress TestSM. We’ve identified seven economic scenarios that we believe have some chance of occurring over the next few years. Based on these scenarios, we “stress test” your portfolio to help determine where it may be vulnerable. Based on this analysis and our investment process, we then offer suggestions on how to restructure it so your portfolio has an opportunity to profit regardless of whether the market goes up or down.

To participate in our complimentary Family Index Stress TestSM, click here or call us at 904- 482- 1131. It’s free and completely confidential.

The world is changing fast and this test can help highlight where your portfolio might need to change, too.