When markets fall, it’s easy to forget that downtrends are part of the investing cycle. So when prices slip, it's a good time to review some common terms that you may be hearing that describe today’s financial markets.

The first is “pullback,” the mildest form of a drop in the markets. You might hear a market commentator refer to a dip of 5% to 10% after a peak as a pullback.

The next term is “correction,” which is used when markets drop 10% to 20% after a peak. Then there is a “bear market,” where the drop is 20% or more since the last peak.

When prices are trending lower, it’s easy to second-guess yourself. But over the years, I’ve found that doesn’t help.

We’ve aligned your investment strategy with your goals, time horizon and risk tolerance. We built your portfolio anticipating that there will be good times and bad.

If you find yourself thinking “this time, it’s different,” please reach out as soon as possible. It’s important that you feel comfortable with our approach and we’d be happy to talk with you.

This information should not be construed by any client or prospective client as the rendering of personalized investment advice. All investments and investment strategies have the potential for profit or loss, and there can be no assurance that the future performance of any specific investment or investment strategy including those discussed in this material will be profitable or equal any historical performance levels. Investment strategies such as asset allocation, diversification, or rebalancing do not assure or guarantee better performance and cannot eliminate the risk of investment losses. Any target referenced is not a prediction or projection of actual investment results and there can be no assurance that any target will be achieved.

Stacy Bush is with Bush Wealth Management.