Market corrections - even recessions - are a normal, though unpleasant, part of a market cycle. Because we know that things like this can and WILL happen, our investment committee works continually and systematically to ensure that we have a high level of conviction around all of the funds in your portfolio. Learn more about Cornerstone's Investment Committee.
While it's uncomfortable to watch portfolio values drop, and you might be tempted to make changes in an effort to limit your losses, remember that while we can't control what happens in Washington, on Wall Street, or even on Main Street, we can control how we prepare for and respond to the resulting gyrations.
The Fed left rates unchanged and signaled that it would stop what has been a slight tapering of some of its asset purchases in the last few weeks. Still, the markets dipped on Thursday. Hear what Cornerstone's advisors have to say about it.
Making changes for the wrong reasons can hurt performance
This illustration demonstrates why we ask you to remember that markets are usually cyclical, and we encourage you to remember your long-term strategy.
If you had invested $10,000 in the S&P 500 Index from January 1,1988 to December 31, 2019 you’d have $265,240.
However, if you had pulled out of the market for whatever reason and missed just the best 5 days in 31 years - you would have only $175,959.
If you missed the best 50 days – only the best 50 days out of those 31 years – you would ONLY have $25,407.
Hypothetical growth of $10,000 invested in the S&P 500 Index from 1/1/1998 to 12/31/2019
Market Volatlity means something different to your personal sitiation whether you're age 30, 40, or 60.
Cornerstone Wealth Advisor, Daniel Reinders, talks about dealing with market volatility through life's phases. >
Raymond James Financial Advisors do not render advice on tax or legal matters. You should discuss tax or legal matters with the appropriate professional.
This content is developed from sources believed to be providing accurate information. This content is for general information only and is not intended to provide specific advice, an endorsement, or recommendations for any individual. Past performance is no guarantee of future results. All indices are unmanaged and may not be invested into directly. Investing involves risk, including possible loss of principal. No strategy assures success or protects against loss. To determine what is appropriate for you, consult a qualified professional.