Stock Market Pullbacks Are NormalSubmitted by PI Financial Corp on June 12th, 2020
Stock markets have been recovering from the March 23rd lows.
Some are questioning how fast the recovery has happened and if this trend can continue.
History shows markets can still keep going higher and pullbacks (declines) are normal.
There is an investment saying "stocks take an escalator up, but an elevator down".
The S&P 500 Index has been making its way to where it was at the beginning of the year.
However, on June 11th the S&P fell 5.9% for the worst day since March 16, 2020 and the first three-day losing streak in more than three moths.
Many investors are not surprised there was this pullback because of how much uncertainty there is still in the markets.
It is more important than ever for investors to be comfortable with their portfolio's plan.
My clients are always made aware of what they are investing in and the amount of volatility that could occur.
If you are unhappy with your portfolio, it may because you are uncomfortable with your plan.