Скачать или смотреть How Presidential Elections Impact the Stock Market

Every four years, presidential elections bring uncertainty, leading investors to wonder how the results will affect the stock market. With the 2024 election potentially being a rematch between the last two presidents (as we saw in the recent debate), the stakes feel higher than ever. In this video, we dive deep into how elections influence market performance, answering some of the most common questions from investors during an election year.

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We'll start by examining average market returns during election years, highlighting a typical 7.3% return. We'll compare returns when Democrats (5.5%) vs. Republicans (8.7%) win and analyze the performance of a 60/40 portfolio in both election and non-election years. Next, we'll look at the year following an election, noting an average return of 7.83%, but emphasizing how historical events, like recessions, can significantly impact these figures.

We’ll then explore market performance under different presidencies, from 1926 to 2023, noting that the S&P 500 has historically performed better under Democratic presidents compared to Republican presidents. We'll discuss why staying invested long-term is more prudent than making decisions based on the president's political party.

Additionally, we'll delve into how one-party control vs. a divided Congress impacts market returns, showing that historically, higher returns have occurred during a divided Congress.

Should you make changes to your portfolio ahead of the U.S. election in November? The chart shows that, since 1928, equity markets have generally risen regardless of who was in office. Elections tend to create more noise than actionable investment ideas, and investors appear to be best served by sticking to their long-term investment plan rather than trying to profit from politics.

Whether you're a seasoned investor or just starting out, understanding these trends can help you make informed decisions. Don't forget to like, subscribe, and hit the bell icon for more financial insights!

Disclaimer - The information provided in this video is for educational and informational purposes only and should not be construed as financial advice. While we strive to provide accurate and up-to-date information, all content is presented without any warranty. Investing in the stock market involves risk, and you should always conduct your own research or consult with a licensed financial advisor before making any investment decisions. The opinions expressed in this video are solely those of the presenter and do not constitute any endorsement or recommendation by any financial entity.

Tags - stock market, presidential elections, market performance, S&P 500, investing strategies, political parties, stock market returns, Democrat vs Republican, election year investing, 60/40 portfolio, long-term investing, divided Congress, one-party control, asset class performance, Trump presidency, Biden presidency, financial insights, investment tips, market analysis, economic impact of elections