Think long term

Think long term

Be invested. With patience.

Markets rise and fall, but historically, they have climbed over time. The challenge for many investors is to keep their emotions out of the investment process, and not to have a knee-jerk reaction to market volatility, pulling out at the worst possible time.

One of the advantages of having a professional financial advisor is to have a voice of calm when markets test your tolerance and patience.

History Shows that the Chance of a Negative Return Decreases the Longer You are Invested

Source: S&P/TSX

Since 1950, the S&P/TSX Composite Total Return Index has delivered negative returns over a one-year holding period 26.5% of the time. However, the frequency of negative returns decreases with longer holding periods. Only 9.8% of three-year periods and 1.6% of five-year periods saw negative returns. There were no ten-year periods with negative returns. Think long term.