Finance

Volatility can be a Good Thing

In the world of investing, volatility is typically synonymous with instability – and instability suggests risk – and risk can create nervous investors, especially those recovering from the economic downturn five years ago.

For the past 18 years, Stuart Conley, founding principal and chief investment officer of Hyperion Wealth Advisors, has managed a successful equity portfolio, as well as a volatility program he developed almost a decade ago.

“We manage an alternative strategy of our own that takes advantage of volatility. The last two years have shown record low volatility, similar to what we experienced in 2005 and 2006. If in 2015 and 2016 we see volatility increase, that’s going to be a good thing. I don’t think clients should necessarily be afraid of volatility – obviously we don’t want to see the kind of volatility we had in 2008 where half a portfolio can be wiped out – but if clients are positioned properly, diversified and have a little bit of a hedge in place in their portfolio, they can face a more volatile period with confidence, knowing that they will do just fine,” explained Conley.

In what some predict as the next big bubble to burst, student loan debt in the U.S. reached a record $1.3 trillion in 2014, according to the Federal Reserve. Commenting on the impact of this on the economy, Conley emphasized, “It’s a serious problem. Things that are unsustainable typically come to an end at some point, and I think the growth in student loan debt is unsustainable.” 

While technology has developed a plethora of online services to engage millennials in the importance of investing, it may fall on deaf ears. “We’ve had an explosion of online tools that are available, but I don’t know that young people are in a position to really benefit from them. The problem that we face now is a lot of people are graduating with large amounts of student loan debt. They are forced to make sacrifices in their lifestyle very early on, and maybe defer the idea of starting to invest until after they’ve satisfied some of these debts,” Conley noted.

From its Park Avenue office in New York City, Hyperion Wealth Advisors works with high net worth clients to create a plan to maintain their lifestyle through their remaining working years and throughout retirement. Focus is on incoming cash flow needs and asset growth in order to provide a legacy for children, grandchildren and charitable causes that are important to them. “What we offer our clients – which is different from what a lot of other advisors offer – is 100 percent customized solutions tailored to a client’s specific circumstances,” said Conley.

Moving forward, Hyperion Wealth Advisors intends to strengthen its online marketing presence by continuing to use platforms such as LinkedIn as well as an innovative website called “GuideVine” which helps people find financial advisors particularly suited to them based on their needs. And, Conley added, “We’re just getting started with Twitter.”

For more information, visit: www.hyperionwealth.com

Securities offered through National Securities Corporation Member FINRA SIPC
Advisory services offered through National Asset Management, Inc., a SEC registered Investment Advisor


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