Are the ups and downs of the stock market leaving you unsettled? Feeling hopeful when the market rises and uneasy when it dips is natural. However, these emotions can sometimes lead to hasty buying or selling, and attempting to outsmart the market often means missing key days of strong performance. That's why focusing on your long-term strategy is crucial, considering your risk tolerance and financial goals. For a hypothetical example, let's examine the period from January 1, 1988, to December 31, 2023. A $10,000 investment at the start of 1988 could have grown to over $417,995 if left untouched. But stepping out of the market for just 10 top-performing days could have reduced that amount to less than $200,000. Missing 30 such days could leave you with just $71,035. Selling in a panic often means missing these pivotal days.1 |
That's why sticking to your financial plan is crucial, especially when the market feels uncertain. We're here to help you stay on track no matter what challenges arise. Have any questions or concerns? Feel free to call or email us, and we'll schedule a chat. |
Fidelity.com, August 5, 2024 |
This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm.
Stocks are represented by the S&P 500 Composite Index is an unmanaged index that is considered representative of the overall U.S. stock market. Index performance is not indicative of the past performance of a particular investment. Past performance does not guarantee future results. Individuals cannot invest directly in an index. The return and principal value of stock prices will fluctuate as market conditions change. And shares, when sold, may be worth more or less than their original cost.