Are you one of the nervous investors fleeing to bonds and cash as the S&P 500 hits record highs? If so, you’re making a huge mistake! As the brilliant Jeff Havenstein recently pointed out, “The most likely thing to follow a new high is another new high.”
That’s right, the numbers don’t lie. If you had bought the S&P 500 on any given day since 1988, you would have seen an impressive 11.7% average one-year return. But get this – if you had the guts to buy when the market hit an all-time high, your average one-year return would have skyrocketed to an astounding 14.6%!
Just look at this chart that Jeff shared:
The proof is in the pudding. Buying at all-time highs outperforms over three and five-year holding periods too. So why on earth would you flee to safer assets now?
As Jeff wisely notes, “Folks see stocks hitting records on the news. If they’re not already fully invested, their amygdalae start firing… and that motivates them to follow the herd. They buy stocks to catch up, and this pushes markets even higher.”
Now, I know some of you might be thinking that things are getting a bit too frothy. But as Jeff points out, consumer sentiment is still below historical averages. People aren’t overly excited about stocks yet, which means there’s still plenty of room for this bull to run!
So here’s what you need to do: Get your money into the stock market NOW, and ride this wave to even greater heights! As Jeff advises, “My advice today is to have your money in the stock market… Then just wait for the next new all-time high. It should be coming shortly.”
Don’t be the nervous investor left on the sidelines while everyone else is raking in the profits. Be the smart investor who recognizes that the most likely event to follow a market high is another market high. Jump in now and watch your wealth soar!
To your prosperity,
The Market Monitor
P.S. My colleague Dr. David “Doc” Eifrig is sounding the alarm about an approaching “point of no return” financial event that could have devastating consequences. Click here to learn how to safeguard your portfolio and even grow your wealth as this plays out!