When markets shift, be ready. In a time of heightened uncertainty and sharp market corrections, staying grounded and informed is more than just good practice - it's essential. As the market reacts to post-Liberation Day tariff policy shifts and economic data wobbles, many investors are asking: What now?
 

At Hyperion Wealth Group, we want to help our clients cut through the noise, regain clarity, and respond with purpose, not panic. With insights from RBC's Global Insight Special Report, Shock and Tariff, here are five key actions to help protect your portfolio and prepare for what's next well before it arrives. 

1. Avoid reactionary moves - corrections are common, even if the headlines aren't

Yes, the recent selloff has been intense. At the time of RBC's report publication, the S&P 500 was down 17.2% from its high in February. But while every correction feels "different," history shows they are a normal part of market cycles. In fact, the S&P 500 has experienced over 100 corrections of 10% or more since 1928, with an average annual peak-to-trough decline of 13.9% since 1980. 

The key is to resist the urge to overhaul your portfolio during the worst of the storm. Investors who stay the course and maintain a long-term view tend to fare better than those who panic sell and try to time the market. 

2. Revisit your allocation and tilt toward quality

Now is the time to evaluate - not abandon - your investment strategy. At Hyperion, we're advising clients to tilt toward high-quality stocks, dividend growers, and tactically defensive allocations consistent with RBC's positioning. These are companies with strong balance sheets, cash flows, and management teams who have weathered previous downturns. 

Sectors like Utilities are also worth watching. They've historically been more resilient during economic stress due to their predictable revenue streams and domestic focus, which makes them less vulnerable to tariffs on goods. 

3. Understand the economic backdrop - this is more than a blip

This correction was sparked by a historic tariff increase, with the U.S. effective rate surging from 2.4% to 24%. This increase is the highest since 1906. That's not just a policy tweak but a potential paradigm shift. 

While recession is not RBC's base case, the risks are rising. The question now becomes, is the volatility we have experienced to start 2025 a brief setback, or are we seeing signs that this is the beginning of something more protracted? Economic growth (projected between 0.1% - 1.0%) and higher inflation are creating a mild stagflation like environment. And while some sectors may rebound, corporate profits and consumer behavior could stay cloudy for months. 

That's why investors need to make intentional adjustments, not emotional ones. A strategy built around resilience and flexibility is key. 

4. Be mindful of how you feed your head - filter the noise and choose your inputs wisely

Market stress isn't just a financial issue, but it can be an emotional one. What you consume mentally during times like these can dramatically shape your perspective, your confidence, and even your decision-making. That's why this is the perfect moment to begin asking yourself: How and what am I feeding my head?

From the news channels you follow, podcasts in your queue, to the social media you consume, every input matters. Not all of it deserves your attention, and that's ok.

At Hyperion we recommend: 

• Turning to trusted, fact-based financial sources instead of clickbait or fear-driven headlines
• Curating a steady, calming media diet - books, music, or thoughtful content that offers perspective instead of panic
• Staying connected with your financial advisor, who can help frame the noise into actionable insights tailored to your goals

"Feed Your Head" may become one of our ongoing conversations here at The Hyperion Take, because the truth is: what you put in affects what comes out, especially in times of market volatility. Choose carefully. Your mental inputs are just as important as your investment allocations. 

5. Talk to your Advisor - don't wait for the next crisis

If you haven't reviewed your financial plan or stress-tested your portfolio lately, now is the time. Whether we enter a recession or not, being prepared should be top of mind for investors. 

Our message is simple: You don't need to predict the future. You just need a plan that can handle it. Now is a good time to assess your current investment allocations, review your risk exposure, and revisit your financial goals in light of recent events. 

Final takeaway

While recent events have sparked concern, they've also provided a valuable reminder. That is uncertainty is inevitable, but being unprepared is optional. At Hyperion Wealth Group, our job is to help you respond with calm, confidence, and clarity. 

To explore how these strategies can apply to your portfolio, download RBC's Shock and Tariff Special Report. You can also schedule a portfolio review or reach out to us with any questions. Our team is here to help you make informed decisions that last beyond the headlines.