Market Outlooks Amongst US Election Anxiety

I have been getting a lot of questions with regards to current market volatility in response to the looming US election. I wanted to share a couple of thoughts and stats that might help ease your stomach on this market rollercoaster.

1. History shows that investors were always rewarded for stomaching the short-term volatility. Looking back at every US election cycle, markets have consistently recovered and moved higher over the medium and long term regardless of near-term uncertainty.
   
   

2. Over the full term, a change in the US Presidency does appear to matter for markets. Historical data shows that markets have generally performed well under both Democratic and Republican administrations, though with some variation in sector performance.
   
   

3. While statistics show equity markets slightly favour Democratic Presidents to Republican presidents; markets always remain positive regardless of the makeup of the US government. The long-term trend for equity markets is upward regardless of which party holds the White House.
   
   

4. The most important thing history has shown us is that the market always finds a way to correct itself over time. Short-term volatility driven by political events has historically resolved, and patient investors have been rewarded.

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