The recent market changes may have some of you concerned about your portfolio. During market uncertainty, that’s where we work the hardest...not on ways to keep the decline from happening rather keeping you from making key mistakes.
The results of research done by Dalbar Inc., a company which studies investor behavior and analyzes investor market returns, consistently show that the average investor earns below-average returns.
For the twenty years ending 12/31/2015, the S&P 500 Index averaged 9.85% a year. A pretty attractive historical return. The average equity fund investor earned a market return of only 5.19%.
That’s a big difference!
Never allow emotions to overcome intelligence. This is so true in many aspects of life. I read that sentence in a non financially related publication and immediately thought about how perfectly it fit into retirement planning. Never allow the media explosion about stock market changes derail your plan. Your plan was designed taking into consideration the ups and downs of the market. As your advisors, we are here to guide you through those times.
As always, if you have questions or concerns, we are simply a phone call away.