US stock market volatility is ‘really nothing’ says Warren Buffett. How to invest like the Oracle when others want out

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Short-term turbulence in the stock market can be enough to make novice investors nauseous, but veterans like Warren Buffett say it’s all part of the game.

In May 2025, one of his last Berkshire Hathaway shareholder meetings before retirement, the 95-year-old commented on the roller coaster effect President Donald Trump’s “reciprocal” tariffs had on the market.

“What’s happened in the last 30, 45 days, 100 days, whatever you want to call it, it’s really nothing,” he said (1).

His confidence appears to align with predictions from other financial gurus for 2026. In spite of fear of an AI bubble (2) and dips in the price of gold (3), most investment firms on Wall Street were bullish in their predictions for the market this year, with many analysts looking forward to another year of double-digit returns (4).

In fact, the billionaire has seen much worse volatility in the past. Here’s why the world’s most famous investor is unconcerned by swings in the stock market, and why you should avoid trying to time the market when valuations get rocky.

For Buffett, the market performance in 2025 was just a bump in the road to long-term gains. After all, the Oracle has been actively investing in stocks since 1941, when he was 11 years old, giving him much more historical context than the average investor.

Now, after over eight decades of picking stocks amid these swings, nothing fazes him. Buffett insists young investors with limited experience should have a similar attitude.

“If it makes a difference to you whether your stocks are down 15% or not, you need to get a somewhat different investment philosophy,” he recommended in his annual shareholder update (5).

If you fall into that camp of investors who worry about upcoming market swings, here’s how you can prepare to weather the storm as Buffett does.

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First and foremost, remember that market crashes and volatility are inevitable. That’s why sophisticated investors like Buffett structure their portfolios to sail through turbulence.

For instance, Berkshire’s assets tend to be well-diversified. According to their latest 13-F filing, they had 47 holdings in their publicly traded portfolio, with the largest positions by far being Apple at 18.7% and American Express Co at 16.1%. Berkshire is also sitting on a cash pile of $381.7 billion, which could signal that the legendary firm is poised to snap up stocks at low cost in the event of a market crash.

To diversify your investments, you might add different asset classes to your portfolio. If, like Berkshire, your portfolio is fairly well-diversified, you may want to start hedging with alternative assets.

After all, targeting investments that aren’t as heavily impacted by stock market shifts can give your portfolio some protection during market downturns.

One option is investing in precious metals like gold and silver, which can sometimes be used to take the edge off inflation.

While gold’s record performance in 2025 has been somewhat tarnished by a recent slump, many analysts still foresee the yellow metal surpassing $5,400 per ounce by the last quarter of 2026 (6). As a portfolio diversifier, gold still holds its place.

But if you want to tap into this asset class, you’re going to need a guide.

That’s where services like Priority Gold, an industry leader in precious metals, come into play. Priority Gold offers the physical delivery of gold and silver — plus, they have an A+ rating from the Better Business Bureau and a 5-star rating from Trust Link.

If you’d like to convert an existing IRA into a gold IRA, Priority Gold offers 100% free rollover, as well as free shipping and free storage for up to five years. Qualifying purchases can also receive up to $10,000 in free silver.

To learn more about how Priority Gold can help you reduce inflation’s impact on your nest egg, you can download their free 2025 gold investor bundle.

If you’re looking to go beyond gold, you could also try looking at investing in real estate.

Commercial real estate specifically can offer higher potential returns than residential real estate, thanks to longer lease terms, higher rental rates and the potential for greater appreciation. But direct access to the $22.5 trillion commercial real estate sector has been limited to a select group of elite investors — until now.

One way to invest in real estate is by purchasing rental properties and becoming a landlord. But for the average American who wants to avoid the need for a hefty down payment or the burden of property management, crowdfunding platforms like Arrived make it easier to slice yourself up a piece of that pie.

Backed by world class investors like Jeff Bezos, Arrived allows you to invest in shares of rental homes with as little as $100, all without the hassle of mowing lawns, fixing leaky faucets or handling difficult tenants.

The process is simple: Browse a curated selection of homes that have been vetted for their appreciation and income potential. Once you find a property you like, select the number of shares you’d like to purchase, and then sit back as you start receiving any positive rental income distributions from your investment.

For a limited time, when you open an account and add  $1,000 or more, Arrived will credit your account with a 1% match

Another way to boost your income through investment in rental properties is to consider the potentially steadier returns from multifamily units. While buildings like this used to require a large upfront investment, now you can get access for less.

If diversifying into multifamily rentals appeals to you, you could consider investing with Lightstone DIRECT, a new investing platform from the Lightstone Group, one of the largest private real estate companies in the country with over 25,000 multifamily units in its portfolio.

Since they eliminate intermediaries — brokers and crowdfunding middlemen — accredited investors with a minimum investment of $100,000 can gain direct access to institutional-quality multifamily opportunities. This streamlined model can help reduce fees while enhancing transparency and control.

And with Lightstone DIRECT, you invest in single-asset multifamily deals alongside Lightstone — a true partner — as Lightstone puts at least 20% of its own capital into every offering. All of Lightstone’s investment opportunities undergo a rigorous, multi-stage review before being approved by Lightstone’s Principals, including Founder David Lichtenstein.

How it works is simple: Just sign up with your email, and you can schedule a call with a capital formation expert to assess your investment opportunities. From here, all you have to do is verify your details to begin investing.

Founded in 1986, Lightstone has a proven track record of delivering strong risk-adjusted returns across market cycles with a 27.6% historical net IRR and 2.54x historical net equity multiple on realized investments since 2004. All told, Lightstone has $12 billion in assets under management — including in industrial and commercial real estate.

As such, even if multifamily rentals don’t appeal to you, Lightstone could still serve you well as an investment vehicle for other real estate verticals.

Get started today with Lightstone DIRECT and invest alongside experienced professionals with skin in the game.

But real estate, gold and private equity aren’t the only alternative assets available. And if you want to get outside of U.S. markets, there are even fewer options available.

However, there’s one globally recognized asset class that is divorced from the American market. It also competes ably with stocks and tends to both appreciate value over time and store it in the case of a market shock.

Even better, high net worth individuals surveyed by UBS said they think it’s a relatively safe investment compared to other traditional assets like stocks (7).

The asset in question? Post-war and contemporary art.

That’s why billionaires have long carved out a slice of their portfolios for art. The combination of low market correlation and strong rebound potential can make for an appealing one-two punch.

It may sound surprising, but more than 70,000 investors have followed suit since 2019 — through Masterworks. Now you can own fractional shares of works by Banksy, Basquiat, Picasso and more.

Masterworks has sold 25 artworks so far, yielding net annualized returns like 14.6%, 17.6% and 17.8% among assets held for longer than a year.

And the best part? Moneywise readers can get priority access to diversify with art, and skip the waitlist to get investing today.

Note that past performance is not indicative of future returns. Investing involves risk. See important Regulation A disclosures at Masterworks.com/cd

Lastly, Buffett always keeps a healthy pile of cash, $381.7 billion at last count, on hand to buy stocks at a discount when crashes occur. If you’re also holding onto cash, whether for an emergency fund or otherwise, you probably want it working as hard as possible for you and your pocketbook.

A high-yield account like a Wealthfront Cash Account can be a great place to grow your emergency funds, offering both competitive interest rates and easy access to your cash when you need it.

Wealthfront Cash Account currently offers a base variable APY of 3.30%, and new clients can get a 0.75% boost during their first three months on up to $150,000 for a total APY of 4.05%. That’s ten times the national deposit savings rate, according to the FDIC’s February report.

With no minimum balances or account fees, as well as 24/7 withdrawals and free domestic wire transfers, your funds remain accessible at all times. Plus, Wealthfront Cash Account balances of up to $8 million are insured by the FDIC through program banks.

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We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.

CNBC (1), (5); CBS News (2); Reuters (3); Bloomberg (4); Devere Group (6); UBS (7)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.