The first two weeks of September have proven to be a good illustration of why it’s important to stay committed to a long-term investment strategy.
As the charts below illustrate, the S&P 500 Index declined by about -4% during the first week of September, only to recoup the full loss in the following week. As Carson Investment Research has found, -3% S&P 500 drawdowns occur about 7 times per year and -5% drawdowns occur about 3 times per year, so volatility is to be expected but not always acted upon.
September 16, 2024
The first two weeks of September have proven to be a good illustration of why it’s important to stay committed to a long-term investment strategy.
As the charts below illustrate, the S&P 500 Index declined by about -4% during the first week of September, only to recoup the full loss in the following week. As Carson Investment Research has found, -3% S&P 500 drawdowns occur about 7 times per year and -5% drawdowns occur about 3 times per year, so volatility is to be expected but not always acted upon.