6 Actions to Take When You Think a Bull Market Is Ending
We are in the ninth year of an aging equity bull market. Since the start of this bull market in March 2009, the S&P 500 Index has gained 426% through September 30, 2018—an annualized return of 19%. Meanwhile, the US economy is firing on all cylinders, with the unemployment rate falling to a multi-decade low and domestic growth at multi-year highs. However, recent market volatility is showing signs that we may be in the late stages of the current bull market and economic expansion.
Advisors are rushing to foretell the next downturn, and no matter when it occurs, the natural laws of our capital markets mean that at some point, you will be forced to endure it. The easy money has been made, so finding returns gets harder from here, and protecting gains becomes important. Below are a few ways to work with your financial advisors and prepare for tougher market conditions ahead.