Elections and Investments: Facts Over Fear
Elections and Investments: Facts Over Fear
Wondering how the presidential election might impact your investments? Election years bring a lot of headlines and sometimes anxiety, but history shows us that markets are driven by many factors beyond politics alone.
To give you a clearer perspective, we’ve gathered data that shows how markets have responded in previous election years. These charts offer historical facts—no predictions here—helping remind us that while political events may affect short-term moods, they aren’t the only drivers of long-term market trends. This blog isn’t about taking sides or making political predictions—it’s about understanding that markets are influenced by a wide range of factors, far beyond election outcomes or political parties.
What’s Behind Market Movements? While the election can feel like a turning point, keep in mind that markets respond to a mix of factors—economic growth, interest rates, and consumer sentiment to name a few. History tells us that even in times of political change, patient investors who focus on their long-term goals fare best.
For more on this, check out the Washington Update presented by Scott Orr, CFA, Vice President at Fidelity Investments, who recently spoke at our annual client event. Orr explains how focusing on solid fundamentals can help keep investors on track, even in times of political uncertainty.
Get Real Perspectives on Politics and Markets Curious about how to filter out the noise during election seasons? Our latest episode of The Money & Meaning Show dives into this with guest Apollo Lupescu, Vice President at Dimensional Fund Advisors. Lupescu explains why focusing only on politics can lead to emotional decisions, which often veer away from your financial goals. Instead, he shares data-driven ways to stay level-headed and strategic.
TandemGrowth President Jeff Bernier’s Three Reminders:
- Separate your political views from your investment choices.
- Stay focused on the big picture—think long term.
- We’re here to help whenever you have questions or just need to chat.
By focusing on what we can control and staying informed, we can avoid being swept up in market fears. If you’re not yet a client and would like to discuss how to stay steady through election season and other times of uncertainty by building and focusing on your long-term financial plan, reach out to us at 770-641-6360 or schedule a complimentary, no obligation call here.
