I’m Proud of You!
Well done! Bravo! I’m proud of you for staying invested in the stock market for the entire year. Despite political unrest, nuclear threats, fires, floods, and hurricanes you didn’t waiver. Your resilience has paid off handsomely and you’ve been rewarded with outsized gains.
It was a stellar year for investors. The Dow Jones Industrial Average returned 25.5% and the S&P 500, 19.8%. A balanced portfolio consisting of 60% stocks and 40% bonds produced a one-year gain of 14.8%.
Here are some highs (and lows) that made 2017 special:
· Donald J. Trump was inaugurated as the 45th President of the United States.
· North Korea tested multiple missiles.
· 1 Million women marched on Washington D.C. for women’s rights.
· Star Wars: The Last Jedi, Beauty and the Beast, and Wonder Woman dominated the box office.
· The U.K. filed Article 50 to leave the European Union.
· SpaceX launched over a dozen rockets.
· The total solar eclipse mesmerized viewers.
· Hurricane Harvey destroyed a large swath of Houston, Texas.
· Hurricane Irma terrorized the Caribbean doing the most harm to Puerto Rico.
· The Houston Astros won their first ever World Series, beating the Dodgers in 7 games.
· The New England Patriots won the Super Bowl – again.
· The California Wildfires torched over 1 million acres.
· The horrific, senseless tragedy in Las Vegas.
· Leonardo da Vinci’s painting, Salvator Mundi, sold for $450 million.
· The International Olympic Committee banned Russia from the 2018 Winter Olympics.
· The Federal Reserve raised its benchmark interest rate.
· Congress passed the Tax Cuts and Jobs Act.
· Bitcoin is at the center of the crypto currency craze.
· Prince Harry is engaged.
· Always Dreaming won the Kentucky Derby.
As we move towards 2018 I’d encourage you to follow your financial plan and stay invested. One of the best ways to create long-term wealth is to own quality stocks from around the world. A balanced portfolio of low cost mutual funds will give you the exposure you need to participate in the upward trend of the stock market. Furthermore, a buy and hold strategy will allow you to enjoy the market’s historical returns.
Give yourself a pat on the back and celebrate your good year! Well done! Bravo! Encore!
The more you praise and celebrate your life, the more there is in life to celebrate. ~ Oprah Winfrey
Bill Parrott is the President and CEO of Parrott Wealth Management an independent, fee-only, fiduciary financial planning and investment management firm in Austin, TX. For more information please visit www.parrottwealth.com.
December 29, 2017
Note: Past performance is not a guarantee of future returns. Your returns may differ than those posted in this blog. Investments are not guaranteed and may lose value.