Blog

Category: Buy

Sell in May and Go Away: Two Market Myths to Avoid this Summer

Posted By Lineweaver Financial Group
July 02, 2019 Category: Sell In May And Go Away, Market, Stock, Buy, Sell

by Jim Lineweaver, CFP®, AIF® There’s an old saying you’ve probably heard that says “Sell in May and Go Away.” But is that good advice? What’s the best thing for you and your investments over the historically slower summer months? The phrase “sell in May and go away” is thought to originate from an old English saying, and it turns out it did have some validity, at least from 1950 to around 2013. During that time, the Dow had an average return of only 0.3% during the May to October period, according to Forbes. But, since 2013 there’s good reason to believe that’s no longer the case. For example, the S&P 500 rose nearly 7% from the beginning of May 2017 through the end of October, according to YCharts. The blue-chip index was up 5% during May through October of 2016 as well.  Another common myth is the October Effect, which is the perception that stocks tend to decline during the month of October. Most statistics go against the theory. Some investors may be nervous during October because the dates of some large historical market crashes occurred during this month. But fortunately, this seeming concentration of days is not statistically significant. From a historical perspective, October has marked the end of more bear markets than it has acted as the beginning.  We try to help all of our clients keep these things in mind when making decisions, and don’t let these myths cloud their judgment.

Categories
General (40)
Newsletter (33)
Economic Commentary (18)
Retirement (15)
Retirement Planning (14)
Letter From The President (14)
Finance (12)
Educational (12)
Tax (11)
Financial Planning (11)
Healthwatch (10)
Lineweaver (10)
Commentary (10)
Market Commentary (8)
Taxes (8)
Economy (7)
Q3 (7)
Tax Planning (7)
Market (6)
Education Programs (6)
Portfolio (5)
IRA (4)
LFG (4)
Estate Planning (4)
Social Security (4)
Bonds (4)
Health (4)
Insurance (3)
Market Review (3)
Diversification (3)
2017 (3)
Interest Rates (3)
Tax Law (3)
Trump (3)
(3)
Rising Interest Rates (2)
Annuity (2)
Strategies (2)
Volatile Market (2)
Fraud (2)
Annuities (2)
Stocks (2)
Charity (2)
HealthWatch (2)
Financial (2)
Coordination (2)
Tax Cuts And Jobs Act (2)
Investing (2)
Tax Scams (2)
Real Estate (2)
2019 (2)
Client Spotlight (2)
Economic Outlook (2)
Market Update (2)
Investments (2)
Financial Strategies (2)
High Income (2)
Social Security Benefits (2)
Election (2)
Brexit Update (2)
2016 (2)
Q2 Newsletter (2)
Financial Goals (1)
Chad Roope (1)
Legal (1)
Wills (1)
Eye Strain (1)
Roth Conversion (1)
Roth Ira (1)
Screens (1)
Vacation From Investments (1)
Traditional Ira (1)
Congress (1)
Marital Trust (1)
Sell In May And Go Away (1)
Bloodline Trust (1)
2018 (1)
David Baker (1)
Q2 2019 (1)
Tips (1)
Jim Lineweaver (1)
Stock (1)
New Years Resolutions (1)
Market Outlook (1)
Vacation Home (1)
Healthy (1)
Cooking (1)
Exercising (1)
Keeping Your Mind Sharp (1)
Q1 (1)
James Lineweaver (1)
Pro Football Hall Of Fame (1)
Quarterly Newsletter (1)
Financial Quarterback (1)
Anne Graffice (1)
Sring Cleaning Your Finances (1)
Statements (1)
End Of Year Taxes (1)
Buy (1)
Markets Don\'t Pick Sides (1)
Steps (1)
Probiotics (1)
2020 (1)
2020Q3 (1)
Medicare (1)
Medicare Supplements (1)
Your Retirement Playbook (1)
2020Q4 (1)
Sleep (1)
Stimulus (1)
Healthy Living (1)
2021 Outlook (1)
Eductional (1)
News (1)
Awards (1)
Crain\'s (1)
Investment. Advisers (1)
Blog (1)
Nutrition (1)
CARES Act (1)
Sell (1)
Longterm Care (1)
Dementia (1)
Review (1)
Credit Unions (1)
Pse (1)
Big Banks (1)
Savings (1)
Checking (1)
Banking (1)
Healthcare (1)
CARES (1)
Elder Law (1)
POA (1)
Power Of Attorney (1)
Charitable (1)
Donations (1)
Inheritance (1)
Tax Strategies (1)
Black Swan (1)
Trusts (1)
Market Pullback (1)
In Laws (1)
Roth (1)
Retiring (1)
Self Employed (1)
Business Owners (1)
Annuity Alternatives (1)
Life Insurance (1)
Dividend (1)
Bonds Ladder (1)
Policy (1)
Donor Advised Fund (1)
Retire Early (1)
Private Foundation Charitable Lead Trust (1)
Charitable Remainder Trust (1)
Growing Your Wealth (1)
REITs (1)
Risk Management (1)
Protection (1)
North Korea (1)
Conflict (1)
Legacy (1)
Retire (1)
Mutual Funds (1)
Gifting (1)
Retirement Tips (1)
Financial Advice (1)
Financial Advisor (1)
Social Security Planning (1)
Charitable Contributions (1)
Women And Money (1)
Service Day (1)
Harvest For Hunger (1)
Candidates (1)
Q1 2017 Newsletter (1)
Politics (1)
Fall 2016 (1)
Financial Health (1)
Holiday Planning (1)
Stockpile (1)
Holiday Gifts (1)
1st Quarter (1)
2016 Market (1)
Winter 2017 (1)
Lineweaver Wealth Advisors (1)
Expense (1)
Q3 Newsletter (1)
Travel Tips (1)
NAFTA (1)
Trading (1)
New Tax Law (1)
529 Plans (1)
Charitable Giving (1)
Q2 (1)
New Website (1)
Bruce Motko (1)
Travel (1)
Distribution (1)
Markets (1)
Drink Water (1)
Market Volatility (1)
Cryptocurrency (1)
Investment (1)
Bitcoin (1)
Advice (1)
Summer (1)
Tariffs (1)
RMD (1)
Costs (1)
Kids (1)
401(k) (1)
Equifax (1)
Mark Sipos (1)
2017 Q4 (1)
Identity Theft (1)
Third Quarter (1)
Tax Cuts And Job Act (1)
Introducing (1)
Grand Kids (1)
Reallocation (1)
Tax Cuts (1)
Jobs (1)
Lose Weight (1)
Eat More (1)
Market Review 2017 (1)
Letter From The President New Years Resolutions (1)
Transfer Real Estate (1)
Defer Tax (1)
Top Financial Strategies Of The Wealthy (1)
Dividends (1)
+ Show More

Terms and Conditions | Privacy Policy | Disclosures

Lineweaver Financial Group ©
Powered by Virteom Logo Virteom