Since 1926, the US stock market has rewarded investors with an average annual return of about 10%. But it’s important to remember that performance in any given year may be sky-high, extremely poor, or somewhere in between. For example:
Sudden market downturns can be unsettling. Historically, US market performance following sharp downturns have, on average, been positive. For instance:
Ultimately, capital preservation strategies are essential to managing risk. To this end, active risk mitigation seeks to reduce investor exposure to the severity and duration of any market drawdown. This is especially important for investors approaching retirement when investors’ time horizons are shorter. Have questions or concerns about your portfolio? Contact us for a complementary meeting here. Whatever is motivating you to reach out, we’re here to listen and help.
Past performance is no guarantee of future returns.