All Articles

Market Pullback Remains Elusive

We have now reached 46 months since the last market decline of 10% or more — the third longest stretch since World War II.

Although markets are overdue for a pullback, investors need not be fearful. Ups and downs are a normal part of investing. On average, the market has experienced a 10% decline every 11 months. By focusing on their long-term goals and financial plan, investors can take market volatility in stride.

At Hefren-Tillotson, we typically recommend mutual funds that are more conservative than average. Investing in conservative funds sometimes leaves money on the table during a strong bull market, but often means a measure of protection during down markets. Good downside protection can help investors stick to their financial plan, even in the depths of a bear market.6.15.15

The adjacent table lists Morningstars Risk Rank for equity funds that commonly make up the core of Hefren-Tillotson client portfolios. The Risk Rank is a measure of a funds historical downside risk. Higher numbers indicate funds that have shown less historical downside risk than peers, with 100 indicating less risk and 1 indicating more risk.

Given the generally conservative nature of these funds, we believe investors should feel confident about the ability of their portfolios to weather inevitable market declines.

DISCLAIMER: Past performance does not predict future results. This report is based on data obtained from sources we believe to be reliable. Hefren-Tillotson does not, nor any other party, guarantee the accuracy or completeness of this report or make any warranties regarding results obtained from its usage. All opinions and estimates included in this report constitute the firms judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation to buy or sell the securities herein mentioned.

What can we help you find?