In this month’s client’s corner, Nick Murray discusses the 50 year anniversary of the post-WWII bull market ending.
January 11th marked the 50 year anniversary of the exact date on which the great post-WWII bull market in U.S. stocks came to an end. Today, after half a century of serial crises, we can look back and clearly see that financial markets are resilient. They have crashed, recovered, and reached new highs time and time again.
The best response a long-term, goal-focused, plan-driven investor can make to a crisis is no response at all—or, more accurately, to just tune out the doom and gloom of financial news and continue acting on your plan.
“The real key to making money in stocks,” as Peter Lynch so memorably said, “is not to get scared out of them.” This is the great investment truth to be drawn from the nightmare of 1973-74 (and from the two subsequent episodes in which the Index halved, in 2000-02 and 2007-09). It remained true as the bear market year of 2022 came to a close.
Talk to your financial advisor to ensure your investment strategy is structured to ride through volatile and uncertain investment periods. Especially during times of volatility, it’s best to consult a professional before making changes in terms of asset allocation, investment diversity, or risk tolerance.
We hope you enjoyed this month’s Client’s Corner. Please do not hesitate to reach out if you have any questions or feedback.
Thinking about hiring a professional to help you implement a long-term financial strategy? We would be more than happy to set up a 30-minute discovery call to get a better understanding of your unique situation.
Read The Full Commentary
If you do not have access to our monthly email, you can request it here:
Your privacy is fully protected. By filling out this form to request this month’s commentary, you give explicit permission for LT Wealth Management Partners to email you to deliver our e-newsletter. It is important to note that your consent acknowledges agreeing to receive our newsletter knowing that your name and email may be stored on external servers outside of Canada.