Football and Fall are Here!

Hello everyone,

Football is back and the fall season is upon us. Enjoy this weather while it’s here, as it won’t be around for long! I’m sure we all have outdoor chores and projects that we are excited to complete this season.

Our team is very excited about the 3-0 start for the Ohio State Buckeyes, but we know there are some tough games ahead on the schedule. This got me thinking… what do stock markets and great football programs have in common?

1. They prove themselves successful over long periods of time. Through 2019, the Ohio State Buckeyes have 924 wins and nearly a 71% winning percentage. Pretty good, right? Well, did you know the S&P 500 Index returned positive returns 32 of the past 42 years? That’s a 76% winning percentage!
2. Your favorite football team and the stock market will stumble at inopportune times. In 1998, the Ohio State Buckeyes were rolling through teams and sat 8-0 heading into a home clash against Michigan State. Joe Germaine was the quarterback, and according to the experts, they “should” have won the game with ease. Unfortunately, it felt like a funeral walking out of Ohio Stadium that day with my dad, as they lost 24-28. It ultimately cost the Buckeyes a shot at a national championship later that year. In the stock market this year, many investors have been let down by the lack of returns among companies around the world. For most, this was not the year you wanted in terms of investment performance.
3. The journey is never over! When your favorite team loses a big game, you don’t stop being a fan. If anything, you want to see how your team responds and what type of grit they must display to return the following week as a winner. With the stock market, companies don’t quit trying to earn more money than they did the previous year simply because they missed their targets. They push forward, drive toward new accomplishments and revenue records. Don’t underestimate the resiliency of the equity markets!

We hope you enjoy the fall season and we’re here for you when you need us. Remember, establish goals, have a plan, and make retirement more predictable.

The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee that it is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are those of Matt Milholland and not necessarily those of Raymond James. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investor's results will vary. Past performance does not guarantee future results.