Part 2: Are you ready for a 30% Market Decline? (Pay Attention to Valuations, Not Headlines) (Ep. 33)

15/04/2025 27 min
Part 2: Are you ready for a 30% Market Decline? (Pay Attention to Valuations, Not Headlines) (Ep. 33)

Listen "Part 2: Are you ready for a 30% Market Decline? (Pay Attention to Valuations, Not Headlines) (Ep. 33)"

Episode Synopsis

In a climate where volatility is the price of admission to long-term wealth, are you truly prepared—not just emotionally, but structurally—for a significant market downturn?

This week on Red Carpet Retirement, Adam Scott, CFP®, takes us deeper into the mindset and math that drives resilient investment strategies. Building on the theme of being ready for a potential 30% (or even 50%) drawdown, Adam goes beyond emotional readiness and unpacks one of the most misunderstood tools in modern investing: valuation metrics.

🔍 Spoiler alert: If your portfolio doesn’t factor in CAPE ratios, you may be flying blind.

🎧 Adam dives into:

✅ The mental prep investors need when headlines start screaming and prices start falling

✅ Why the CAPE ratio (Cyclically Adjusted P/E) isn’t just academic—it’s your market compass

✅ How historically high P/E ratios should inform—not terrify—your allocation decisions

✅ Building a portfolio that doesn’t just grow—but endures storms and thrives after

✅ Asset classes that offer better value right now, including overlooked international and bond opportunities

Resources: 

Are You Ready for a 30% US Stock Market Decline? (Ep. 32)

Connect with Adam Scott, CFP®: 

LinkedIn: Adam Scott
LinkedIn: WellAcre Wealth
WellAcreWealth.com
Phone: 310-220-4946

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