On the final trading day of the first quarter in 2013, the S&P 500 made an all-time closing high. Five and a half years and 1375 trading days had passed since that last happened.
On March 28, 2013, stocks wrapped up their strongest first quarter since 1998 and the S&P 500 (SPY) was up 149% from the lows. Banks in Cyprus had been closed for a couple of weeks, jobless claims were 357k, and GDP was growing at 0.4%. And of course, the Fed was either being given credit or blame for all of this, depending on which side of the fence you were on. It was perfectly reasonable to wonder how much further this thing could go.
Four years later, we have the answer to that question. The S&P 500 (with dividends) has added another 70% since it’s first new all-time high in March, 2013.
Calling the top is a really, really hard game to play. Imagine being negative on the market in 2013, and seeing 148 new all-time highs over the next four years? What does that do to your psychology? Can you ever recover from that?
The S&P 500 just closed at another all-time high. Take advantage of the blue skies. Put a plan in place, this way you’ready when the storm arrives. Buying insurance after a disaster strikes is no way to live your financial life.
