Post by stcks on Feb 11, 2019 0:22:19 GMT
If you missed just the 25 strongest days in the stock market since 1990, you might as well have been in five year treasury notes.
This remarkable data point is almost always followed by “time in the market beats timing the market.” I’m generally on board with this line of thinking, however, I don’t necessarily agree that this chart is the best way to prove this point.
If by some miracle you managed to miss the 25 best days, you likely would have missed at least some of the worst days as well. The chart below shows the rolling 30-day standard deviation of the S&P 500 with the 25 best days (green dots) and 25 worst days (red dots).
theirrelevantinvestor.com/2019/02/08/miss-the-worst-days-miss-the-best-days/
This remarkable data point is almost always followed by “time in the market beats timing the market.” I’m generally on board with this line of thinking, however, I don’t necessarily agree that this chart is the best way to prove this point.
If by some miracle you managed to miss the 25 best days, you likely would have missed at least some of the worst days as well. The chart below shows the rolling 30-day standard deviation of the S&P 500 with the 25 best days (green dots) and 25 worst days (red dots).
theirrelevantinvestor.com/2019/02/08/miss-the-worst-days-miss-the-best-days/