Strategist shares latest outlook and strategies for managing market volatility
St. Louis, Mo. – Financial services firm Edward Jones today reported that the volatility markets experienced in October is likely to continue. Daily moves that have dropped U.S. stocks roughly 10 percent from their recent record highs indicate a correction, which Edward Jones says is a return to normal volatility. As investors work to make sense of changing indicators, earnings reports and major economic news, recent volatility doesn’t mean the end of a bull market, but rather signals a later part of the economic and market cycle.
Increased market volatility is normal, but it can be uncomfortable. As part of your long-term investment strategy, holding an appropriate mix of investments, focusing on the positive fundamentals and maintaining realistic expectations can create a sense of calm and financial confidence, during market volatility.
*Before investing in bonds, you should understand the risks involved, including credit risk and market risk. Bond investments are also subject to interest rate risk such that when interest rates rise the prices of bonds can decrease, and the investor can lose principal value if the investment is sold prior to maturity.
**Investing in equities involves risks. The value of your shares will fluctuate and you may lose principal. Special risks are inherent to international investing, including those related to currency fluctuations and foreign political and economic events.
Our perspective on important market and economic topics to help you make decisions affecting your long-term financial strategy.Read more
Here are some common emotional investing behaviors that may derail your journey to reaching your long-term goals.Read more