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Showing posts from March, 2018

Managing Stomach Churning Market Drops

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Ugh.  This year has been psychologically brutal for buy and hold investors.  Between February’s sell off and this week’s repeat on US/China trade war concerns-there has been a lot of volatility in the market.  The S&P 500 is currently down below November 2017 levels wiping out all January 2018 gains. Don’t panic-remember we are investing for the long term. 


At least, for now, we are still positive versus this time last year.


None of this short term volatility matters-even if the US heads into a recession (after all this is the second longest bull market in history-it’s time) in the next few years. These market dips are a buying opportunity.  Basically the market periodically goes sale.  If the S&P is at 5000 in seven years-would you rather have bought at 2500 or 2800?  Remember-we are investing for the long term, 20-30 years.  The market goes up over long periods of time.  Look at the S&P 500’s stellar performance since 1987.


How am I managing seeing my savings fall thous…