Focus on buy and hold for the long term
- Investors often make the mistake of trying to time the market by simply selling out of it.
- Historically, some of the worst short-term market fluctuations and losses were followed by periods of substantial market recovery.
- Asset allocation, diversification and periodic rebalancing are tools investors can use to help weather market downturns.
- Having the right investment mix helps strike the right balance between risk and return.
- Consider your goals, time horizon, risk tolerance and overall financial situation when making an investment or asset allocation decision. Keep in mind that diversification and asset allocation do not assure a profit or protect against loss.
Remember, it is time invested in the market -- not market timing
Copyright 2015 Ned Davis Research, Inc. Further distribution prohibited without prior permission. All Rights Reserved. See NDR Disclaimer. For data vendor disclaimers click here.
Past performance does not guarantee future results. It is not possible to invest in an index. Sources: Columbia Management Investment Advisers, LLC and Ned Davis Research, Inc., 07/31/1985-07/31/2015.
The Standard & Poor's (S&P) 500 Index tracks the performance of 500 widely held, large-capitalization U.S. stocks.
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