W. Scott Simon is a principal at Prudent Investor Advisors, a registered investment advisory firm. He also provides services as a consultant and expert witness on fiduciary issues in litigation and arbitrations. Simon is the recipient of the 2012 Tamar Frankel Fiduciary of the Year Award.
Some headlines declare that the economy and stock prices are going to hell in a hand basket. But experiencing the latest downturn in the stock market is just another example of an entirely normal adjustment in our dynamic capitalistic economy. The constantly changing nature of the U.S. economy (and world economy) often masks this cyclical behavior, making it difficult for many people to see. In reality, what we're currently experiencing are only (temporary, by definition) cyclical declines within the vast permanent advance of our economy and financial markets the world over.