Your Happiness Depends on This Decision.
General InvestingDAYS OR DECADES
Where’s Your Focus?
What we are about to tell you is going to sound crazy, but bear with us. Because it’s definitely true.
Ready? Here it is…
We get to decide what we focus on.
Hold on… let us repeat.
We. Get. To. Decide. What. We. Focus. On.
When it comes to investing, that means we have a choice. We can focus on days or decades.
If we choose to focus on days, we are signing up to make ourselves miserable. And for no good reason.
Why do we say this?
Expected market returns on a given day? Flip a coin.
(Since 1926, the US market has been up just over 50% of trading days)
Chances of a positive market year? 3 out of 4.
Get it…The longer the time frame, the higher the probability of positive returns.
Over a decade the S&P has risen 94% of the time.
What about two decades? 100% of the time!
Annualized average returns between 1926 and 2024? 10.3%.
So why the focus on short-term fluctuations? It’s simple. The media needs eyeballs daily to sell advertising.
Remember, we do have a choice.
Days or decades.
What’s it going to be?
To living your ideal life,
The Paradigm Team
Paradigm Advisors is a fee-only financial planning firm based in Dallas, Texas and Fayetteville, Arkansas. Paradigm Advisors provides comprehensive financial planning and investment management services to help clients organize, grow and protect their wealth throughout life’s journey. Paradigm specializes in advising well-established career executives through financial planning and investment management. As a fee-only fiduciary and independent financial advisor, Paradigm never receives commission of any kind. Paradigm is legally bound by certification to provide unbiased and trustworthy financial advice.