Although December 2018 was one of the most difficult months on the stock markets since 2008, the beginning of the year saw a rebound that to a great extent offset the previous month’s decline.
This sequence is a striking example of market volatility and a fine illustration of the principle that, as difficult as it may seem, staying invested is a winning strategy over the long term. Investors who unfortunately got out of the markets in December not only locked in their losses but also were unable to take advantage of the market’s rapid recovery.
All investors invariably encounter periods of turbulence, but they should not be an issue for those with a long-term view.
Finally, it’s advantageous to use preauthorized contributions (PACs) to take advantage of market volatility. In highly volatile markets, PACs mitigate a portfolio’s exposure to stock market fluctuations.
FÉRIQUE is a registered trademark of Gestion FÉRIQUE and is used under license by its subsidiary, Services d'investissement FÉRIQUE. Gestion FÉRIQUE is an Investment Fund Manager and assumes management duties in relation to the FÉRIQUE Funds. Services d'investissement FÉRIQUE is a Mutual Fund Dealer and a Financial Planning Firm, as well as the Principal distributor of the FÉRIQUE Funds. Please note that for commercial purposes, Services d'investissement FÉRIQUE is also known in English as FÉRIQUE Investment Services.
There may be brokerage fees, trailing commissions, management fees and expenses associated with investment in the Funds. Management expense ratios vary from one year to another. Please read the prospectus before investing. Mutual funds are not guaranteed, their values fluctuate frequently and past performance may not be repeated.
This review has been prepared for the general information of our clients and does not constitute an offer or solicitation to buy or sell any securities, products or services and should not be construed as specific investment advice. All opinions and estimates expressed in this document are as of the time of its publication and are subject to change. The information contained in this document has been obtained from sources believed to be reliable, but we do not represent that it is accurate or complete and it should not be relied upon as such. The content of this presentation is proprietary and should not be further distributed without prior consent of Gestion FÉRIQUE.