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Good morning,
The stock market is experiencing volatility due to fears surrounding conflict in the Middle East.
Times like these can make it feel like something must be done.
The reality is that there is almost always a big event either on the horizon or currently happening.
The world is a volatile place. The stock market reflects this.
But despite this volatility, the long-term trend is very, very positive.
“Over the long term, the stock market news will be good. In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a fly epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497.” - Warren Buffett
What needs to be done is counterintuitive; nothing needs to be done (from an investing standpoint).
If you are already invested in high quality dividend growth stocks, all you need to do is keep holding for the long run - regardless of war, recessions, presidents, oil shocks, etc.
And if the prices of great businesses with shareholder friendly managements and strong competitive advantages fall - then it's a great time to reinvest dividends (or additional funds) into these companies when their prices are cheap.
To your compounding dividend income,
Ben Reynolds Founder, Sure Dividend
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