30 Aug Is it time to get less aggressive with investments?

Q. My portfolio has been going well, but I’m starting to worry about the volatility and all these back and forth changes, from Iran to tariffs to everything. I’m 55 and I plan to work for at least 10 years, and I’m 80/20 in equities. Is it time to back off of equities? I still have a mortgage and no major expenses plan, and I put the max in my 401(k).
— Still working

A. Great question.

The fact that you’re thinking about this before you’re forced to is exactly the right instinct.

First, let’s separate the noise from your plan, said Matt Rembish, a certified financial planner with OneDigital in Boonton.

He said Iran, tariffs, the daily headlines — these feel enormous in the moment, but they’re the kind of short-term volatility markets normally absorb.

“The danger isn’t the volatility itself; it’s letting a headline-driven emotion drive a permanent portfolio decision,” he said.

Second, the question that actually matters: time horizon.

You’re 55 and plan to work 10+ years. You have something incredibly valuable that a retiree doesn’t — ongoing income and time to recover from downturns.

So is 80/20 right for you?

“When the market is volatile, it allows us to take a step back and look at our asset mix and make sure it makes sense,” Rembish said.

As you move through your 50s and into your 60s, the concept to keep an eye on is sequence-of-returns risk: a big market drop in the few years right before or after you stop working does far more damage than the same drop today because you’d be drawing down instead of adding in, he said.

“That’s the real reason many people glide their equity exposure down as retirement approaches — not because volatility is scary, but because the timing of losses starts to matter more,” he said.

For investors nearing retirement, one approach sometimes discussed is gradually adjusting asset allocation over time rather than making significant changes in response to market headlines, he said.

“Whether such an approach is appropriate depends on an investor’s objectives, risk tolerance, time horizon, financial circumstances, and tax considerations,” he said.

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This story was originally published in August 2026. 

NJMoneyHelp.com presents certain general financial planning principles and advice, but should never be viewed as a substitute for obtaining advice from a personal professional advisor who understands your unique individual circumstances.