Stay Invested Long Term

Casey Smith goes over why you should stay invested long term, and discusses a few interesting stats he found in a recent Vanguard report about bear markets vs bull markets. We are currently midway through Q2 2022. Year to date, the S&P 500 is down about 13%. Bear markets are declines of about 20% or more lasting at least two months in the market. Since 1980, there have been nine bear markets. On the flip side, the average bull market lasts about 852 days, and over that 852 day bull market period the average rate of return is 99%. When you look back all the way to 1980, twenty of the best trading days actually occurred during negative return years. Twenty of the worst trading days actually occurred during the positive return years. It is important to stay invested long term and keep costs low in the portfolio.