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Bite Sized Insights - Annual Returns and Intra Year Declines

Bite Sized Insights - Annual Returns and Intra Year Declines

| September 21, 2022
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These are the days it's good to revisit the realities of investing.

On average, stocks drop 14% from top to bottom each year. You can see this in the annual worst drop year by year below.

But on average, the market is up about 2 out of every 3 years via the grey bars.

You will also see the past three years' returns of about 29%, 16%, and 27% for the US stock market. We expect drawdowns from time to time. So today's about 17% drop seems less surprising in this big-picture context.

Remember, every 5-10 years we will likely see a significant market drop. Observing this does NOT mean investing is broken, or you should abandon your long-term financial plans. It's merely expected, not fun, but normal market movements. Thanks for taking a look, and please reach out if you would like to discuss your own financial plans and investments.

Your ISC Team 






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