Do record highs happen more often on presidential election years? Nope. The data doesn’t support that. Going back over the last 100 years, there’s about an equal chance a record high will occur on an election year vs a non-election year. In more recent times this is apparent when you realize, the S&P 500 hit record highs in 2013, 2014, 2015, 2016, 2017, 2018, 2019, 2020, and 2021. Most of those were not election years!
What do record highs tell us about the future? NOT MUCH honestly. The best course of action is to keep investing every single month and let your wealth compound over time. The market could go up or down over the next year. But stick with consistently investing and you will be very rich.
As always, reminding you to build wealth by following the two PFC rules: 1.) Live below your means and 2.) Invest early and often.
-Vivi & Shane
