If you’re over 60, this kind of stock market chaos demands a new strategy.
The stock market’s been having a meltdown—again. With Trump-era tariffs making a noisy return, investors are rattled, headlines are grim, and the future feels foggier than ever. If you’re an older adult trying to protect your retirement savings, it’s easy to feel like you’re stuck on a financial rollercoaster with no seatbelt. One day things are up, the next day everything tanks, and no one seems to know what’s coming next. That kind of volatility can be especially nerve-wracking if you’re living on a fixed income or counting on your nest egg to last.
You’ve worked too hard to build it up just to watch it bounce around with every news alert. It’s not about panic—it’s about preparation. And while you can’t control what the market does next, you can control how exposed you are and what smart choices you make going forward. Your future self will thank you.
1. Stop assuming the market will magically bounce back in time.
It’s tempting to believe the market always recovers, but timing matters—especially if you’re close to or already in retirement. When you’re younger, you’ve got decades to wait out downturns. But if you’re older, you may need that money sooner. Assuming things will rebound quickly can lead to bad decisions or serious losses.
Hope is not a strategy. Instead, focus on how much of your money you’ll need in the short term and protect that portion from the chaos, advises Rob Williams in an article for Charles Schwab. You don’t have to pull out entirely, but it’s time to rethink the “ride it out” mindset. What worked in your 40s might not serve you in your 60s. It’s not about fear—it’s about realism. You worked too hard to leave your financial future up to chance or wishful thinking. Now’s the time to get intentional and play defense, not just offense.
2. Stop holding risky investments just because you’ve had them forever.
Just because a stock or fund has been in your portfolio for years doesn’t mean it deserves a permanent spot. Loyalty to your past investing choices can be dangerous in a volatile market, writes Steve Vernon for Forbes. The economy is shifting, and what was a smart move 15 years ago might be way too aggressive now.
Ask yourself: if you didn’t already own it, would you buy it today? If the answer is no, it might be time to let it go. Hanging onto something just because it’s familiar can quietly drain your nest egg. Take emotion out of it and look at your portfolio with fresh eyes. You don’t need to be ruthless, just realistic. Your money’s job has changed—from growing aggressively to protecting your lifestyle. That means trimming the risk, even if it means saying goodbye to an old “favorite.”
3. Start keeping at least two years of cash or safe money on hand.
One of the best ways to stay calm during market drops is knowing you don’t need to sell your investments right away. Having two years’ worth of living expenses in cash, CDs, or a high-yield savings account gives you breathing room, says Sarina Trangle writing for Investopedia. When stocks are down, you can use that cash cushion instead of cashing out investments at a loss. It’s like giving yourself a financial buffer against panic.
You don’t want to be forced to sell at the worst possible time just to cover your bills. Having that safe money on hand lets you ride out short-term drops without wrecking your long-term plan. Plus, knowing it’s there helps you sleep better at night. It’s not about pulling everything out of the market—it’s about giving yourself options so you don’t have to react out of fear when things get messy.
4. Stop checking your portfolio every single day.
When the market’s bouncing all over the place, watching your account daily is like riding an emotional rollercoaster with no brakes. You don’t need that kind of stress. The more often you look, the more tempted you’ll be to react impulsively. Panic-selling is one of the quickest ways to lock in losses, advises True Tamplin in a Forbes article, and that’s the last thing you want when you’re depending on your savings.
If your portfolio is set up right—with a mix of safe and growth-focused investments—there’s no need to watch it like a hawk. Checking once a month or once a quarter is enough. More important than constant monitoring is making sure your strategy still fits your life stage. The market’s unpredictable, but your reaction doesn’t have to be. Give yourself some peace of mind and step away from the screen. Your future self will thank you for it.
5. Talk to a financial advisor who actually understands retirement.
Not all financial advisors are created equal. Some are great at helping you grow wealth, but not all know how to help you protect it during retirement. If your advisor is still treating your portfolio like you’re in your 30s, that’s a problem. You need someone who gets the shift from accumulation to preservation. Someone who helps you manage volatility, reduce risk, and plan for things like required minimum distributions, taxes, and healthcare costs.
It’s not just about returns anymore—it’s about income, safety, and peace of mind. If you haven’t had a serious, up-to-date conversation about how to navigate this wild market, schedule one now. And if your advisor isn’t helping you feel more confident about your retirement plan, it might be time to find someone who will. You’ve earned a strategy that works for this stage of life—not the last one.
6. Keep a portion of your money growing—even in retirement.
It’s easy to go into full-on protection mode when markets get shaky, but going too conservative can backfire. You might live 20 or 30 more years, and inflation doesn’t care how old you are. You still need some growth in your portfolio to keep up with rising costs. That doesn’t mean throwing money at risky stocks—it means finding a smart balance between safety and long-term growth.
Even just having a chunk of your portfolio in a well-diversified mix of reliable, dividend-paying investments can make a big difference over time. The key is knowing what portion can afford to ride out the ups and downs, and which part needs to stay safe for near-term needs. It’s not all or nothing. Retirement isn’t just about protecting what you have—it’s about making it last. Growth still matters, even if it’s not your top priority anymore.
7. Don’t fall for the “hot tip” your neighbor swears by.
It’s always during shaky times that someone swears they’ve got the inside scoop. Maybe it’s a hot stock, a crypto rebound, or some obscure investment they read about in an online forum. Resist the temptation. These “tips” rarely work out the way they’re promised—and they’re often riskier than they seem. If it sounds too good to be true, it probably is. You’ve spent decades building your nest egg. Don’t put it at risk chasing someone else’s shortcut to riches.
Most people who push these ideas are either guessing or trying to look smart. Stick with strategies that are based on your goals, your timeline, and your tolerance for risk. There’s no shame in playing it safe when the market is wild. Being steady, not flashy, is what gets most people through tough financial times intact.
8. Watch out for investment fees that quietly eat into returns.
When markets are up, fees can fly under the radar. But during times of volatility, those little percentages start to hurt a lot more. If your investments are loaded with management fees, expense ratios, or advisor commissions, your returns take a bigger hit than you might realize. And over time, that compounds in the wrong direction.
Now’s the perfect time to dig into your statements and ask questions. Are there lower-cost alternatives? Are you paying for services you’re not using? Cutting unnecessary fees is one of the easiest ways to keep more of your money working for you. It doesn’t require timing the market or picking the perfect stock—it’s just about being smart with what you already have. Every dollar you save on fees is a dollar that can help fund your lifestyle, not someone else’s yacht.
9. Rebalance your portfolio before the market does it for you.
Market swings can throw your asset mix out of whack without you realizing it. What started as a balanced portfolio might now be overweight in stocks or underweight in safer assets. If you haven’t rebalanced in a while, now’s the time to check. Rebalancing helps you stay aligned with your original plan—not the market’s mood swings. It’s like giving your portfolio a tune-up before something breaks.
It might mean selling a little of what’s grown too much and reinvesting in areas that are lagging behind, based on your goals and risk tolerance. It’s not about chasing performance—it’s about keeping your foundation strong. If you ignore it too long, the market will eventually correct it for you—and that’s rarely a gentle process. Take the reins and rebalance on your terms, not in the middle of a panic.
10. Keep taxes in mind before making any big moves.
When the market’s shaky, it’s tempting to sell off investments “just in case.” But before you hit that sell button, think about the tax hit. Capital gains taxes can sneak up on you, especially if you’ve held investments that have grown a lot over the years. And pulling from certain retirement accounts can push you into a higher tax bracket if you’re not careful. Every financial move has a ripple effect, and taxes are often the part people forget until it’s too late.
Before you make any big changes, talk to a tax advisor or financial planner. A little planning can save you thousands. In tough markets, protecting your nest egg isn’t just about avoiding losses—it’s about minimizing unnecessary drains on your money. Don’t let taxes eat away at what you’ve worked so hard to build.
11. Remember that your emotions are your biggest financial threat.
Markets go up and down—that’s nothing new. What really derails retirement plans is how people react to those ups and downs. Fear, anxiety, and panic can lead to bad decisions, like selling at the bottom or abandoning a well-thought-out plan. It’s human nature to want to “do something” when things feel uncertain, but sometimes the smartest move is to pause and breathe.
Your retirement isn’t defined by one bad week or even one bad year in the market. It’s a long-term journey, and staying calm during storms is part of the process. Surround yourself with advice you trust, avoid the financial news loop if it’s stressing you out, and revisit your plan with fresh eyes. Your emotions are valid—but they shouldn’t be in charge of your money. Keep your cool, and your nest egg will be in far better shape because of it.