DShort Chart: Stock Always Come Back, Right? Not So Fast

via The S&P 500, Dow and Nasdaq Since Their 2000 Highs.

Hold stocks long enough and you’ll get your money back, right? Well what if you had invested at the 200o peak? In real terms you’d still be underwater.

 

 

 

 

 

 

 

 

 

 

From Doug Short:

 

The charts require little explanation. So far the 21st Century has not been especially kind to equity investors. Yes, markets usually do bounce back, but often in time frames that defy optimistic expectations. Investors in the Nikkei 225 have been waiting a long time for a return to the peak of 1989.

Valuations and fundamentals eventually matter.

Scott Dauenhauer CFP, MSFP, AIF

 

 

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