Investing Updates : Time vs. Timing: 60 Years of S&P 500 Bull and Bear Market Insights

Source : 

https://www.moomoo.com/community/feed/time-vs-timing-60-years-of-s-p-500-bull-114302338859013

Apple Intelligence :

• Market Pullback Frequency: The S&P 500 experiences pullbacks of 5% or more about 3.4 times a year, corrections of over 10% about 1.1 times a year, and adjustments of over 15% about 0.5 times a year.

• Market Recovery: The market always recovers from dips, regardless of the cause.

• Importance of Time in the Market: Staying invested for the long term is crucial, as missing just the best 1% of weeks can significantly impact returns.

• Bear Market Definition: A market decline of 20% lasting over two months.

• Market Recovery: Recovery speed varies depending on the economic backdrop, with some markets rebounding quickly after interest rate cuts and others taking years to recover from recessions and crises.

• Market Timing vs. Time in the Market: Staying invested for the long term is generally more beneficial than trying to time the market, as missing the best days can significantly reduce returns.

• Investment Strategy: Shift focus from short-term metrics to long-term growth.

• Market Timing: Emphasize time spent in the market over attempting to time market entry and exit points.

• Market Downturns: Maintain a long-term perspective and avoid panic selling to benefit from market recoveries.