After nearly 65 years of employment in the investment community, I have seen, and survived, almost everything the market can throw at you. While it is true that markets are prone to wide fluctuations, they remain, in effect, a proxy for the long term economic success of the United States.
Over the nearly 100 years of the S&P 500 as a measure of market performance, the average annual growth rate has approximated 10%.
Investing is a long term commitment. Since joining Sigma, some 19 years ago, I have adopted a buy and hold strategy and have not reduced my equity holdings.
I expect that markets will continue to fluctuate and eventually reach new highs, as measured by the popular market indices.
All comments and suggestions are welcome.
Walter J. Kirchberger, CFA