THE CASE FOR STAYING INVESTED
Although short-term volatility swings can be difficult to stomach, it’s important for long-term investors to persevere. While it may be tempting to pull out of the stock market, investors may miss out on a potential market rebound and opportunity for gains while they are on the sidelines.
In the chart below, the green bars represent the largest declines from a “peak” (high) to a “trough” (low) that occurred each year. Despite intra-year volatility, the S&P 500 Index had positive year-end total returns 24 out of the last 30 years.
Download full-size chart below
BWFA will provide you with an important guide that reviews your individual risk tolerance, asset allocation & performance of your current investments. This is a free service that we are providing to help you during these difficult and volatile times.
STAY THE COURSE WITH BWFA
Many investors know that the best way to endure volatility is to stay the course with a long-term plan and well-diversified portfolio. However, sticking to these fundamentals is sometimes easier said than done. If you’re rethinking your investment strategy or considering a new direction altogether, we recommend that you contact us so we can run a personalized assessment of your current portfolio before making any changes. BWFA will provide you with an important guide that reviews your individual risk tolerance, asset allocation & performance of your current investments. This is a free service that we are providing to help you during these difficult and volatile times.
ROBERT G. CARPENTER
President & CEO
SOURCE: © 2020 Morningstar. All rights reserved. US stocks are represented by the S&P 500 Index, a market capitalization-weighted index of 500 stocks designed to measure total US equity market performance. Indexes are unmanaged and one cannot invest directly in an index. Index returns do not reflect any fees, expenses or sales charges. The chart above is for illustrative purposes only. Past performance does not guarantee future results. All investments involve risks, including possible loss of principal. Stock prices fluctuate, sometimes rapidly and dramatically, due to factors affecting individual companies, particular industries or sectors, or general market conditions. Special risks are associated with foreign investing, including currency fluctuations, economic instability and political developments. Diversification does not guarantee a profit or protect against a loss. These and other risk considerations are discussed in a fund’s prospectus. Investors should carefully consider a fund’s investment goals, risks, charges and expenses before investing.