Active Markets

Staying invested even when markets are volatile can serve investors well

History shows that some of the market's best days occur shortly after bad days.

By staying fully invested over the past 15 years, you would have earned more than someone who missed the market's 10 best days.

Test your own investment amount:

$10,000 invested in the S&P 500 (12/31/04–12/31/19)

Data is historical. Past performance is not a guarantee of future results. The best time to invest assumes shares are bought when market prices are low.

Stayed fully invested:
% annualized total return
Missed 10 best days:
%
less by missing the 10 best days
Missed 20 best days:
%
Missed 30 best days:
%
Missed 40 best days:
%

Data is historical. Past performance is not a guarantee of future results. The best time to invest assumes shares are bought when market prices are low.

By trying to predict the best time to buy and sell, you may miss the market's biggest gains.

The U.S. stock market has been resil­ient throughout its history. Stocks rou­tinely recovered from short-term crisis events to move higher over longer time periods.

Download "Time, not timing" (PDF)

Data is historical. Past performance is not a guarantee of future results. The best time to invest assumes shares are bought when market prices are low.

  • 1.  The collapse of Lehman Brothers in September 2008 triggered a severe market downturn and recession. Within a year, stocks had recovered significantly.
  • 2.  The market declined sharply in 2011 when Standard & Poor’s downgraded the U.S. credit rating, but rallied soon after.
  • 3.  In June 2016, U.S. stock prices plummeted more than 5% in the two days after the Brexit referendum, followed by a dramatic three-day recovery.
  • 4.  The S&P 500 tumbled more than 10% on fears of a Fed policy error and a U.S.–China trade war in the fourth quarter of 2018.
Download "Time, not timing" (PDF)

Data is historical. Past performance is not a guarantee of future results. The best time to invest assumes shares are bought when market prices are low.

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