Recession Concerns & Market Volatility: How Financial Advisors Should Communicate With Clients
As financial advisors, you’re well aware that so far the 2025 financial market has been more unpredictable than a toddler. One moment, they’re giggling with delight; the next, they’re in full meltdown mode because a sock won’t cooperate.
But despite the turbulence, history suggests that what we’re seeing may not be a sign of impending disaster.
What Story Does History Tell?
For context, Phil Blancato, chief market strategist at Osaic, points out that while the S&P 500’s 6.1% drop in the first 48 trading days of the year marks its worst start since 2020, such declines are not unprecedented.
He went on to argue, “Since 1928, there have been 17 years with similar drops, and 10 of those years ended positively. A notable example is 2003, when the S&P 500 reversed an 8.6% early-year loss to finish up 26.4%.”
So, it’s safe to say that April has historically seen market shifts, but the volatility makes financial advisory clients anxious nonetheless.
Why Proactive Communication Matters
If there’s one thing more unpredictable than the markets, it’s human emotion.
When clients see red numbers flashing across their screens, their instinct is often to panic, pull out of investments, or assume the worst.
That’s where financial advisors come in!
Right now, your clients don’t just need portfolio management; they need perspective. They need to hear from you. Silence can feel like neglect, and in uncertain times, that’s the last thing you want your clients to associate with your services.
By proactively communicating, you’re doing three things:
- Reinforcing your value: Clients don’t just hire you to manage assets; they hire you to provide guidance in both good times and bad.
- Providing reassurance: Sometimes all a client needs to hear is that downturns are normal and history suggests recovery.
- Preventing emotional decision-making: If a client sells at the bottom due to fear, they lock in losses rather than riding out the wave, which financial advisors know all too well.
Here’s what I know, if you’re not talking to your clients, someone else is—whether it’s the media, a doomsday influencer, or their neighbor who suddenly thinks they’re an investment expert. It’s better that they get insight from you.
Financial advisor Jeff McClean of Solidarity Wealth shares some insight into how he keeps his clients updated in turbulent times:
Our approach is straightforward: It is not a hard-and-fast rule, but if my partners and I each get 3+ calls/texts in a 24-hour period around “what’s happening with the markets,” then we know the angst or nervousness is increasing. And I have always thought that if 3 people reach out, there’s probably 3x as many thinking the same thing. So it is best to be proactive and get ahead of concerns to save us from fielding 3x as many calls. Proactive market communication saves so many calls/emails/texts. As you will notice too, we made sure our most recent volatility email went out on Friday, March 7th. We really wanted something out before the weekend when clients have more time to think and digest the market or economic news that way our thoughts/narrative were already in their inbox.
The Right vs. Wrong Way to Talk About Volatility
How you communicate about market shifts matters just as much as whether you communicate at all.
The wrong way?
Leading with panic-inducing statements like:
- “The market is crashing! Brace yourselves!”
- “This could be the next 2008—buckle up.”
- “We’re in uncharted territory.”
The right way? Acknowledge the volatility, provide historical perspective, and remind clients of the bigger picture:
- “Yes, the market is down, but history tells us these downturns are temporary.”
- “Volatility is part of investing, and successful long-term investors don’t react emotionally.”
- “Market corrections can create opportunities for long-term growth.”
By framing your messaging with confidence and perspective, you reinforce trust instead of fueling uncertainty.
Would you like another real-life example? Here’s another financial advisor like you that writes timely articles to share with his clients.
The Power of Content Marketing
Proactive communication doesn’t have to mean individually calling every client after a bad trading day (though high-touch clients may appreciate that).
Instead, scalable content marketing allows you to keep all your clients informed without spending all day answering emails.
Consider these content strategies:
- Weekly or monthly emails: A simple market update with your reassuring perspective keeps clients from panicking over daily fluctuations.
- Blog posts: These establish you as a thought leader and give clients a resource to turn to when they have questions.
- Social media posts: Even short LinkedIn or X updates can remind clients you’re present, engaged, and monitoring the situation.
When clients feel informed, they feel confident. And confident clients are more likely to stick with their financial advisor rather than jumping ship out of fear.
How Indigo Marketing Agency Helps
Here’s the challenge: As a financial advisor, your expertise is in guiding clients—not writing blog posts or crafting market updates. And that’s okay. That’s where we come in.
At Indigo Marketing Agency, we create custom content that speaks in your voice, helping you keep clients informed without spending hours writing each week.
From email sequences to blog posts and social media content, we ensure your clients hear from you consistently—without you lifting a finger.
Since we specialize in providing marketing services ONLY for financial advisors, all our content is compliant and engaging to audiences of RIAs.
Learn more about our Total Marketing Packages today.
Get a Free Strategy Call for Custom Content
If you want to keep your clients engaged and reassured but don’t have time to write, let’s talk.
We’ll create custom content that sounds like you, reinforces your expertise, and helps you retain clients.
Book a free strategy call today, and let’s craft a client communication plan that keeps your business strong—no matter what the market does next.
Schedule Your Free Marketing Strategy Call Today
FAQs
Clients look to their advisors for guidance, especially in uncertain times. Proactively communicating reassures them, prevents emotional decision-making, and reinforces the advisor’s value. Silence can lead to unnecessary panic or clients seeking unreliable sources for advice.
Advisors should acknowledge the market’s fluctuations but provide historical context and a long-term perspective. Instead of using alarmist language, they should focus on past market recoveries and emphasize that volatility is a normal part of investing.
Regular emails, blog posts, and social media updates keep clients informed, reducing their anxiety and reinforcing trust in their advisor. When clients feel confident and educated, they’re more likely to stay with their advisor rather than making impulsive investment decisions.
That’s where Indigo Marketing Agency comes in. We create custom, client-facing content that reflects the advisor’s voice and expertise, allowing advisors to focus on managing portfolios and client relationships instead of writing.
Advisors can book a free strategy call with our team to discuss their communication needs. The agency will craft a personalized content plan to keep clients informed and engaged without adding extra work to the advisor’s plate.
