What will you do . . . .?

[Happily Retired2019]

Hi Everyone: This is my first post- hoping to get some opinions concerning stocks and the upcoming elections.
After the elections many are saying that the stocks will drastically drop if a democrat is elected OR increase if a Republican wins (or perhaps vice versa)

What will you do-hold tight or move money to a safe haven as not to lose money?? We rely on social security and stocks to live.

Thanks to all-Enjoy the Holiday.

 

[COcheesehead]

I use a bucket strategy. I won’t change anything.

 

[Plantman]

I doubt much will change unless one party gets control of the White House and both Chambers of Congress.

 

[Midpack]

I won’t change anything, I’m a long term investor, not a market timer/trader. There’s no strong correlation between presidential elections and the market. “Many” and “they” aren’t reliable sources. YMMV

 

[Ronstar]

I'm going to do what I did following each of the last 11 presidential elections - nothing.

 

[bloom2708]

Head down. Pump your arms. Lean in. Keep investing and saving.

 

[Happily Retired2019]

Thank you

 

[Samething]

I won’t change anything, I’m a long term investor, not a market timer/trader. There’s no strong correlation between presidential elections and the market. “Many” and “they” aren’t reliable sources. YMMV

What he said.

 

[braumeister]

Hi Everyone: This is my first post- hoping to get some opinions concerning stocks and the upcoming elections.

In my view, after the elections stocks will do much as they have before the elections: they will go up and they will also go down. To answer your question, we would have to know what time frame you're thinking about. Months, years, decades?

 

[donheff]

I was expecting to click on this inaugural post and find it blown away for violating our no politics rule. Like others I will sit tight on my AA whether my team wins or loses. I don’t buy the premise and I’m in it for more than 4 years if I’m wrong.

 

[jollystomper]

Also agree with those who are long term investors. I will not change anything, just rebalancing based on my desired AA. I have been investing through both parties in the white house since the 1980s. My long term investment attitude is summed up in these lyrics by The Who: "Meet the new boss, same as the old boss".

 

[ckelly78z]

A surge would be good for the investments you already have, a downturn will allow you to buy more shares cheaply !...Hold !

 

[rocketjockey]

Agree that "They" and "Many" are full of it. Check out actual by presidency here

https://www.macrotrends.net/2614/sp500-performance-by-president-from-election-date

 

[DrRoy]

I will raise part of my cash for next year before the election, but no more. If I had done something in 2016, I would have been wrong.

 

[DenverGuy42]

My wife an I decided last weekend that with all of the potential volatility - elections, colder weather + covid - that we would cash out enough living expenses to carry us through till 2022 since the market had more or less fully recovered from March. We made the trade on this Wednesday.

We had no idea that the market would drop so severely on thur/fri - just dumb luck.

But now we have cash on hand to live on until feb 2022 and will change nothing about our AA for the remaining. It'll auto-rebalance as needed from time to time, but it is in there for the long haul.

 

[pacergal]

Continue to follow my investment plan and asset allocation.
I have changed my AA down a bit this past year, I realized I was not as comfortable where it was. Probably won't make too big of a difference overall, except for my comfort level!
went from about 75/25 closer to 65/35.

 

[OldShooter]

Hi Everyone: This is my first post- hoping to get some opinions concerning stocks and the upcoming elections.
After the elections many are saying that the stocks will drastically drop if a democrat is elected OR increase if a Republican wins (or perhaps vice versa)

What will you do-hold tight or move money to a safe haven as not to lose money?? We rely on social security and stocks to live.

Thanks to all-Enjoy the Holiday.

Here is some reading on the futility of market timing: https://www.bogleheads.org/wiki/Taylor_Larimore%27s_market_timing_quotes

 

[W2R]

I agree with the rest. My approach will be the same as it was in 2008-2009: Hang tight, make no investment changes at all, except possibly a few minor tweaks to stick to my written asset allocation. That approach served me well during the Great Recession, and I ended up quite a bit ahead after all was said and done.

Besides, I'm retired. I could spend my time worrying about investments, but honestly I have other, far more important things to do. Like, play video games, enjoy lunches with my sweetie, and post here on the ER forum.

 

[ckelly78z]

We had no idea that the market would drop so severely on thur/fri - just dumb luck.

.

I think perhaps that more than a few folks cashed out on their new high marks, which caused the market to tumble for a day.

 

[nhcycling]

I’m a long term investor. I will do nothing.

 

[REWahoo]

Experience as a novice investor taught me whenever I zig I usually end up wishing I had zagged, so I'm better off doing nothing.

 

[CRLLS]

If my guy doesn't get elected, I'm sure that I will sell everything, then lose it all Vegas and end up "eating a steady diet of government cheese, thrice divorced, and living in a van down by the river!" (SNL Chris Farley skit)

Not really. I'll do nothing just like I have in all other elections. Timing the market will work for some, for a few trades, but very few if any can lay claim to winning over the long term no matter what the political environment was.

 

[rodi]

Agree that "They" and "Many" are full of it. Check out actual by presidency here

https://www.macrotrends.net/2614/sp500-performance-by-president-from-election-date

Interesting link. Thanks for sharing that.

 

[Whisper66]

We have ensured we have 6 to 9 months of living expenses available in cash or short term bond funds. Also have made minor asset allocation adjustments to be a little more conservative given our concerns with impacts of elections and unrest in the country. But these are things specifically called for in our financial plan so we are just following our own written guidance.

 

[Badger]

Anything I would do has already been done. There is enough in cash to last many years. If it doesn't then the country will have been in deep in trouble. Anything in stocks will take care of my children for their retirement if I just leave it alone. If the market drops 50% they will still have a good nest egg. If it does drop I would be tempted to buy a few shares.


Cheers!