Beware the autumn fall: Should investors fear a September slump?
Daily MailHistorically, September has delivered a few nasty shocks to the stock market. Looking at the data for each month, September was the only one where investors ended up worse off on average, with a typical fall of 0.96 per cent. Cold snap: Looking at the data for every month over the past 40 years, September is the only one where investors ended up worse off on average: with a typical fall of 0.96 per cent It was also the only one where investors were more likely to lose than gain, with 21 out of 40 years showing a drop. Downward trend: Three week into September and the FTSE 100 and 250 have lost 3.37 per cent and 2.89 per cent respectively, while over in the U.S. the S&P 500 is down 2.01 per cent Rob Burgeman, an investment manager with wealth managers Brewin Dolphin, advises a slightly different approach to potential volatility. Mr Burgeman says: ‘Data shows that missing the ten best days of the year for equity returns can have an extraordinary impact on long-term returns.’ He points to research by investment bank JP Morgan, which suggests that investors who miss the best ten days of the year lose 50 per cent of potential annual returns.
History of this topic
Global stock markets slump as US data shows economic activity cooling
The Independent
Wall street braces for a volatile September due to Fed meeting and market data
Live Mint
As Sensex, Nifty see 3 straight months of fall, should investors be worried?
Live Mint
FTSE 100 hit by Covid fears as £44bn wiped off in global selloff, Asian stocks trade lower while Sensex loses 400 points
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