The election of Donald Trump has spawned breathless media coverage, fiery debates and protests. Most economic predictions and forecasts lean towards the extremes. The recent cover of Fortune magazine proclaims "The Promise and Peril of the Trump Economy".  A recent headline in Barron’s touted, “Dow 30,0000!” On the complete flip side, longtime market prognosticator Harvey Dent predicts that 2017 will be "worse than the great depression.”  The investment media, along with investment firms, advisors, bloggers and other market prognosticators, are in a mad rush to develop their “top 10 things to do now” lists.  The major changes that President Trump is proposing provide much to consider and a lot of disagreement on potential outcomes. But what everyone needs to do more than anything right now is to stop and take a breath. First of all, it is impossible at this point to determine how much of the president's agenda will actually get through congress. Second, an investor's goal ought to always be disciplined and structured to meet his or her personal goal, regardless of economic and regulatory climate. For most people, trying to time the market is a loser's bet.

Still, there are a lot of potential changes worth digesting. Among the president's proposals is a tax overhaul that calls for lowering the corporate tax rate from 35 percent to 15 percent and for reducing the number of personal tax brackets for individuals (with the top rate dropping from 39.6 percent to 33 percent). Also on President Trump's agenda: a major reduction in regulations and a whopping $550 billion in federal infrastructure spending. Investors and financial advisors scrambling to identify the possible opportunities and pitfalls have a full spectrum of outcomes to consider: 

• A major market decline never seen before or a major market increase with unprecedented growth

• Double digit inflation or moderate inflation

• A reduction in the global economy due to protectionism and trade tariffs

• A tech sector slump as tougher immigration laws drain talent from the industry

• A surge in banking and finance thanks to regulation rollbacks

• Major decline in other parts of the economy from the regulation rollbacks in banking and finance, which were specifically put into place to avoid another 2008 meltdown

• Massive U.S. deficit deriving from the massive infrastructure spending

• Updated infrastructure and increases in U.S. corporate profits leading to higher wages, lower unemployment and 2 percent to 4 percent growth

Such a diverse set of possible outcomes leaves much unknown for the market, investors and advisors. All the uncertainty makes for a breeding ground for potential big winners and losers among market timers and prognosticators. A prognosticator has the easier job. He can make a bold stance with a particular prediction, and, if wrong, can always come up with an intelligent reason for a forecast falling off target. Soon enough, people will forget. When a prognosticator hits a pick correctly, he enjoys the limelight for awhile. No real risk there. 

Those trying to time the market stand to either pay dearly for the wrong bet or to hit it big like those who bet against the housing market in 2008. But over time, I am firm believer returns regress to the mean. A majority of Americans are not trying to time the market. They are focused on capturing that return needed to accomplish their goals. To protect what they have while understanding that they do need their investment to grow enough to keep up with inflation and build lifetime assets.

Within that scope, are there still some things that investors can “do now?” Many might look to hedging against inflation, which isn't always simple. Is the hedge long or short term? How much risk are you willing to take? Stocks can be a very effective long-term inflation hedge. Gold and commodities, along with Treasury inflation-protected securities, can also provide hedges.

While trying to outsmart the market can be perilous, investors willing to place bets will want to look at companies in pharmaceuticals/biotech, defense, energy, banking and infrastructure, based on where regulations and federal spending appear to be headed. Tax cuts will benefit many sectors, but those that already have high tax exemptions and deductions such as REITs and utilities stand to benefit less.

But by and large, what an investor or a good advisor might do now shouldn't differ much from what they have hopefully been doing all along as they plan for their financial future. Planning should not be reactionary to the market, politics or prognosticators, and most definitely not tied to emotions. A good advisor always assists the client to plan for uncertainty. Planning ought to be diversified in terms of asset classes and in terms of contingencies for factors that can affect financial markets. Anyone whose plan doesn't yet do that will want to take stock of the following:

• Short- and long-term goals

• Times frames for these goals and assets dedicated to accomplishing them

• Risk tolerance of short-term and long-term market gyrations

• Diversifying the assets allocated to each short-term and long-term goal

• Consider possible hedges against inflation

• Utilize tax-deferred and tax-free vehicles where possible to reduce taxation

• Reevaluate tax efficiency of taxable investments under proposed new tax laws

• Proper insurances and estate planning are very important

Yes, people are preparing for uncertainty under President Trump. His style is shaking up the citizens, the government and the economy. In the end, however, I believe that all of the potentially extreme scenarios will eventually end up somewhere in the middle. Like always, America will continue to move forward—and this too shall pass. A well-thought-out financial plan regardless of changes to the tax code, along with a well-diversified portfolio will go a long way toward safely navigating rough waters. 

Lou Cannataro is senior partner and wealth advisor at Cannataro Park Avenue Financial.