Adopting a long-term view on investing and the markets is needed most when it is difficult to do—like right now, when stocks are extremely volatile and under pressure as investors try to determine how COVID-19 and this year’s election will ultimately impact corporate and consumer sentiment and spending, corporate profits, and the pricing of risk assets.
The equity market was generally kind to investors during the first three quarters of 2018. Then October hit. Volatility was back. Technology stocks were pummeled. Each day seemed painful for investors. However, advisors are standing their ground despite recent market volatility.
The desire to structure and manage client portfolios is oftentimes part of the advisor's value proposition. Selecting investments and being responsible for those decisions can be a worthwhile endeavor. But how effective is it in the long run?
With the first half of 2018 now behind us, it’s a great time to trace how managed account programs have fared thus far this year in terms of sales, redemptions, and net flows.