History is a powerful lens. It helps us put things in perspective and realize we’ve weathered tough times before. As the saying goes—history may not repeat itself, but it sure does rhyme.
That said, not every historical comparison is helpful. Lately, I’ve seen a number of headlines comparing the Dow’s performance this April (which, by the way, isn’t even over yet) to April 1932. Is that technically accurate? Maybe. Is it useful? Not really. It doesn’t tell you anything about your long-term returns, goals, or personal financial plan. It’s designed to grab attention—and clicks. And we all know that kind of bait rarely leads anywhere productive.
There’s a lot going on in the world right now. It feels like too much. It might even feel like we’re living through something totally new.
We’re not.
That’s why history can be such a grounding force. Many of the challenges we’re facing aren’t unprecedented—they’re just outside of living memory. And if it didn’t happen in our lifetime, it often feels like it never happened at all.
Remember early 2020, when everyone said, “We’ve never seen anything like this”? But we had—the 1918 flu pandemic. Tariffs? We've seen those, too. Think back to the Smoot-Hawley Act. Major economic shifts? Nixon took the U.S. off the gold standard in 1971. Even some of today’s immigration debates echo policies from the 1920s.
History gives us context. It doesn’t offer perfect solutions, but it helps us find patterns, learn from past missteps, and tap into our resilience. The catch is—we have to remember it. And culturally, that’s not our strong suit. Many of us came here to start fresh, to leave the past behind. That mindset has made us innovative and forward-thinking—but it also means we sometimes forget what we could have learned from.
So maybe today, we pause. Let’s draw strength from the past—our resilience, our adaptability, and yes, even our mistakes—and use it to move forward with more clarity and confidence.
The next time you read a scary headline, ask yourself, “How does this impact my financial plan? Is my timeline longer than this?” If you need to revisit the plan, then let’s do that. Otherwise, it’s not news—it’s just noise.