Stock market declines over a few days or months may
lead investors to anticipate a down year. But the US stock
market had positive returns in 16 of the past 20 calendar
years, despite some notable dips in many of those years.
- Intra-year declines for the index ranged from 3% to 49.
- Many years with large intra-year declines saw positive
annual returns. In 16 of the last 20 years, US stocks
ended up with gains for the year. - Even in 2020, when there were sharp market declines
associated with the coronavirus pandemic, US stocks
ended the year with gains of 21%.
Volatility is a normal part of investing.
Tumbles may be
scary, but they shouldn’t be surprising. A long-term focus
can help investors keep perspective.
Your financial future is too important to be left to chance. By utilizing an Evidence-Based Investment approach, the team at Cogent Strategic Wealth is about implementing the great ideas in finance for our clients, not speculation.
Your portfolio is no doubt an important driver of your overall financial plan. In response, we start and end with evidence. Our approach is guided by more than 60 years of objective, peer-reviewed research on how markets work.
The strategies in your investment plan are risk-optimized, cost-effective and tax-efficient to enhance your odds of living the life you’ve imagined.
Life is uncertain. The market is even more precarious. This means building wealth has no shortcuts. Success requires a solid investment approach, a long-term perspective, and discipline to stay the course. Instead of leaving your financial future to chance, you need to have a plan.
Cogent Strategic Wealth is here for you.
So, instead of worrying about your future, why not take positive steps to protect it? Set up a Cogent Conversation with us today. We’ll show you how to transform your hard work into durable wealth even through troubling markets.
Past performance is no guarantee of future results. Indices are not available for direct investment. Their performance does not reflect the expenses associated with the management of an actual portfolio.
In US dollars.
Data is calculated off rounded daily returns. US Market is represented by the Russell 3000 Index. Largest Intra-Year Decline refers to the largest market decrease from peak to trough during the year. Frank Russell Company
is the source and owner of the trademarks, service marks, and copyrights related to the Russell Indexes.
Investing risks include loss of principal and fluctuating value. There is no guarantee an investment strategy will be successful.
Dimensional Fund Advisors LP is an investment advisor registered with the Securities and Exchange Commission.
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