February was a volatile month for stocks. Tech continued the selloff that started in late December, with the Magnificent 7 falling 8.1% in the month. Tariffs and inflation fueled worries about growth as the new Trump administration began implementing policy changes. Fourth quarter earnings reports were solid, though mixed economic data and policy uncertainty prompted investors to favor defensive sectors. Bonds, especially longer-dated Treasurys, helped stabilize portfolios during the market volatility.

Recent market swings have highlighted a gap between how investors feel and how markets have performed. As the famous Warren Buffett quote suggests, it has often been wise to be "fearful when others are greedy and greedy when others are fearful.” While this can seem counterintuitive when there are many economic and political concerns weighing on the market, having the discipline to stay invested has historically been the reason investors are rewarded in the long run.

Investor concerns over the recent underperformance of technology stocks have raised questions about the broader stock market. While strong returns among artificial intelligence stocks have supported portfolios over the past few years, they have also raised questions about the sustainability of the market rally. Concerns for tech stocks primarily include concentration risk, frothy valuations, and comparisons to prior bubbles. How can investors maintain a long-term perspective and stay balanced amid these market dynamics?

Albert Einstein reportedly once told his accountant, "the hardest thing in the world to understand is income taxes." This observation from the Nobel Prize-winning physicist remains relevant today, as our tax system has only grown more complex in the decades since. This year’s tax deadline on April 15 is approaching, but taxes are more than a once-a-year obligation – they are an essential part of year-round, holistic financial planning.