As I think back on the many conversations that we’ve had this year, here are the Top 3 concerns you’ve shared with me this year:
• I’ll never make up what’s been lost in the market. How long it will take me to make it back?
• How will the political landscape affect the markets?
• I feel like I’m just throwing good money away; should I pause my current auto contributions until the markets improve?
As the saying goes, we don’t always see the forest for the trees. It’s always the short-term events that oftentimes cause us to make emotional decisions that have lasting impacts on our ability to reach our goals.
Investing in down markets is one of the toughest things to do. For investors, though, it also presents some of the greatest opportunities to build wealth. For instance, research shows that, on average, markets recover 30% in the 1st 30 days of a recovery.
Missing just 5 of the best days can reduce your average return by 23%. Miss more, and it’s even worse.
Emotions oftentimes lead us to do the wrong thing at the wrong time. Altering your investment strategy in the face of all the market worries can have long lasting effects.
There’s always a reason not to invest; but don’t let those reasons derail your ability to reach your financial goals.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.
Investing involves risk including loss of principal.
