Tuesday, November 3rd 2020 is finally here and we want to make sure we are taking time to reassure our clients and investors alike that although this seems to be a chaotic time, there is more positive than negative in the world.
{Audio} Election Watch: Election Day
Here are a few highlights you need to remember:
Investors get nervous during election years
You’re not alone if you are feeling uneasy about the markets right now. Historically we see investors move their money into money market or low risk investments during election years. Net assets flow into money market funds almost 3 times higher during election years than non-election years.
Stick with the plan you made with your advisor
As long as you are communicating with your advisor, confidently stick to the plan discussed. Staying invested in the market during election years, pandemic or no pandemic, has historically benefited long term investors. Staying calm and not making drastic changes to a portfolio will benefit investors in the long run. Remember it is not about “Timing the Market,” but about “Time in the Market”.
Remember the election is more than just for The White House
Too often we become focused on who will win the seat of President of the United States. We need to step back and remember that we are also voting for the US Senate and House of Representatives. Sometimes we focus too much power to the President and forget that we have a democracy that has checks and balances limiting each branche's power.
There is a lot more Bi-partisan support than we are led to believe
The media tends to highlight negative news because they know it draws viewers. What you don’t see on TV is that nearly 70 percent of bills passed in Congress were signed with bi-partisan support. This is the highest percentage in the last 20 years showing that we agree more than we disagree.
November 3rd is sure to be a historic day for America. While it might be easy to focus on the negatives, remember to keep a positive, long-term outlook on your investments.
If you would like to schedule a no-cost meeting to review your portfolio, call our office at 320-222-4236 for a no-cost meeting today!