Excitedly Announcing My New Book

Here I go again, talking about the stock market.  It still seems like no matter what I write or say, many of you continue to worry about your investments.  I could jump up and down like a monkey and it’s not enough.  LOL

 

Ok.  Here’s the deal.  I am going to make this article so short, and so sweet.

 

Let’s look at what the stock market has returned each year since 1942.  We, as a people, need to stop paying attention to our investments and look at what they have done for nearly 80 years.  It is time to fight back against all the fear we are fed.

 

Here is each year and each year’s stock market return.  Please really take the time and read each year and market return.

 

Year                    S&P 500 

1942                   19.17%

1943                   25.06%

1944                   19.03%

1945                   35.82%

1946                   -8.43%

1947                   5.20%

1948                   5.70%

1949                   18.30%

1950                   30.81%

1951                   23.68%

1952                   18.15%

1953                   -1.21%

1954                   52.56%

1955                   32.60%

1956                   7.44%

1957                   -10.46%

1958                   43.72%

1959                   12.06%

1960                   0.34%

1961                   26.64%

1962                   -8.81%

1963                   22.61%

1964                   16.42%

1965                   12.40%

1966                   -9.97%

1967                   23.80%

1968                   10.81%

1969                   -8.24%

1970                   3.56%

1971                   14.22%

1972                   18.76%

1973                   -14.31%

1974                   -25.90%

1975                   37.00%

1976                   23.83%

1977                   -6.98%

1978                   6.51%

1979                   18.52%

1980                   31.74%

1981                   -4.70%

1982                   20.42%

1983                   22.34%

1984                   6.15%

1985                   31.24%

1986                   18.49%

1987                   5.81%

1988                   16.54%

1989                   31.48%

1990                   -3.06%

1991                   30.23%

1992                   7.49%

1993                   9.97%

1994                   1.33%

1995                   37.20%

1996                   22.68%

1997                   33.10%

1998                   28.34%

1999                   20.89%

2000                   -9.03%

2001                   -11.85%

2002                   -21.97%

2003                   28.36%

2004                   10.74%

2005                   4.83%

2006                   15.61%

2007                   5.48%

2008                   -36.55%

2009                   25.94%

2010                   14.82%

2011                   2.10%

2012                   15.89%

2013                   32.15%

2014                   13.52%

2015                   1.38%

2016                   11.77%

2017                   21.61%

2018                   -4.23%

2019                   31.21%

2020                   18.01%

 

Dave’s Comments:

 

1. If you started investing in 1942 you would have made money EVERY YEAR until 1973.  That’s 31 years.  Sure you lost single-digit amounts in 1946,1957,1962,1966 and 1969, but who cares?  You would have made far more than 10% on average. You would have lost a small amount of money five out of thirty years.  Nobody “lost all of their money.”  That is a total misconception which 95% of the population possesses.

 

3.  The markets did nothing by grow at an astonishing rate from 1976 to 2001.  Markets are never “due” to crash.

 

4.  Yes.  You would have lost double digits five times out of eighty years.  But even those times are mostly in the teens.  Nobody came anywhere close to “losing all their money.”

 

5.  Look at some of those good years.  37% in 1975, 32% in 1980, 30% in 1989, 30% in 1991, 37% in 1995, 32% in 2013, 31% in 2019, and 52% in 1954?!

 

I really want you to let all of this sink in.  Ponder on these numbers.  Print this out and put it on your refrigerator.  There are dozens of things people should be worried about instead of the stock market.  Don’t let all the frenzied talk around you affect your mental health.  What you are doing works.

 

Dave’s Plea: Please believe that the stock market will average 10% between now and the end of your life.  If it doesn’t- it is historically unheard of.  Don’t make me rent a gorilla suit and jump up and down.

 

Be Blessed,

 

Dave

 

 

 

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