Previous posts mentioned that the best years for stock market returns were in the early 1930's coming after the bottom of the crash.
Here is a quote from Merrill Lynch's September 25, 2009 Global Report which is published monthly (and can be obtained from my website menu option: Topics, Economy)
"...This is the best market rally in such a short period of time (191 days) without a 10%
correction since rallies in 1932 and 1933. This is an extraordinarily rare event..."
Yes, rare but only as rare as this Great Recession is rare. So, what do you do now? Stocks are for long-term. If we fall back and even return to another recession in a year or two and then experience two or three years of inflation after that, then we are still within a 10-year period - minimum - of holding stocks. If you have a strategy, then redirect future contributions or rebalance your portfolio if you have a larger percentage in stocks now than you wanted.
An Introduction
Hi. Welcome to BourGroup and my blog. Phil
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.