ANNUAL RETURNS AND SELECTED HEADLINES (S&P 500 TR INDEX JAN 2010 – NOV 2020)
Δ 2020 YTD return is Jan 1, 2020 – Nov 30, 2020 and is not annualized. Source: AthenaInvest, Inc. and S&P Dow Jones Indices LLC
Investors worry about whether some event is going to turn into a market rout and agonize over whether they should get back in the market, stay invested or get out and stay on the sidelines. Of course, pundits, commentators, and social media fuel the fire by issuing warnings about everything that goes wrong with the world, the economy, markets, and other potential disasters. Meanwhile, politicians, economists and experts give conflicting predictions about the consequences from the same data. Altogether, these unsettling world events are amplified by opinion and media hype creating an underlying state of constant worry.
But for all the headlines and mouse clicks, usually the right thing to do is to stay fully invested. It is not that these events are not important, it is just that reacting to them is not a reliable way of making long-term investment decisions. History has shown that the US economy and stock market are incredibly resilient with the capacity to weather the storm of a wide range of events. While pullbacks are inevitable, history shows the best course of action is to stay invested and focus on your long-term goals.
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IMPORTANT INFORMATION AND DISCLOSURES
The information provided here is for general informational purposes only and should not be considered an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. It should not be assumed that recommendations of AthenaInvest made herein or in the future will be profitable or will equal the past performance records of any AthenaInvest investment strategy or product. There can be no assurance that future recommendations will achieve comparable results. The author’s opinions may change, without notice, in reaction to shifting economic, market, business, and other conditions. AthenaInvest disclaims any responsibility to update such views. These views may not be relied upon as investment advice or as an indication of trading intent on behalf of any AthenaInvest representative.
You are solely responsible for determining whether any investment, investment strategy, security, or related transaction is appropriate for you based on your personal investment objectives and financial circumstances. You should consult with a qualified financial adviser, legal or tax professional regarding your specific situation. Investments involve risk and unless otherwise stated, are not guaranteed. Past performance is not indicative of future performance.