top of page
Search

Why time in the market, not timing the market matters

History doesn't repeat itself but it often rhymes. Given the recent market correction, its easy to fall into the fools trap of selling during down cycles. Just as people think that markets will only get worse is when you will see some of the best days of return. Today was another example of that with the markets jumping upwards on postive news from the pause on tariffs.


Historically speaking, prior to today the best 1 days return of in all of the history of the S&P 500:


Rank

Date

Percentage Gain

Context

1

October 15, 1931

14.87%

Great Depression recovery rally after steep declines

2

October 6, 1931

12.34%

Another sharp rebound during the volatile Great Depression era

3

October 30, 1929

12.34%

Post-crash bounce after Black Tuesday (October 29, 1929)

4

March 24, 1931

11.73%

Early Depression-era volatility and recovery attempt

5

October 13, 2008

11.58%

Rebound during the 2008 Financial Crisis after coordinated rate cuts

6

October 28, 2008

10.79%

Late October rally in 2008 amid crisis stabilization efforts

7

March 23, 1931

10.47%

Continued volatility in the Great Depression

8

March 15, 1933

10.17%

Banking reforms and optimism following Roosevelt’s inauguration

9

November 14, 1929

9.96%

Recovery move after the initial 1929 crash

10

April 9, 2025

9.52%

Trump update on tariffs

Many investors will look at those figures and dream at the idea of getting those returns on a single day. For reference prior to today, the 10th best day was a relief rally after the Black Monday crash, driven by bargain hunting and market stabilization efforts returning in a postive 9.10%.


Anyone that says you can time the market are selling nonsense. It's not about timing the market but time in the market.


Lastly investors in the history of the S&P 500 have seen an average of 10% returns. Some decades better/worse however given the rarity of calling a market top/bottom, it's the longer term investor that tends to enjoy the best investment returns.


If you have any questions, please do not hesitate to reach out to Cliff, Mario, Mark, or our TSG team.



 
 
The | Steele Group / CI Assante Wealth Management

Assante Financial Management Ltd.

544 Hespeler Rd
Cambridge, ON N1R 6J8

Telephone: 1.519.622.3740

Fax: 1.519.622.0508

Toll-free: 1.888.824.4351

www.assante.com

CIRO_W.png

Assante Financial Management Ltd. (“AFM”) is a registered mutual fund and an exempt market dealer providing mutual fund products and investment services. AFM advisors are licensed to sell mutual funds, guaranteed investment certificates (“GICs”), government bonds and other securities that are subject to available regulatory exemptions and required proficiencies.

 

AFM is a member of the Canadian Investment Regulatory Organization (“CIRO”), the national self-regulatory organization (“SRO”) that oversees all investment dealers, mutual fund dealers and trading activity in Canada’s debt and equity marketplaces. To learn more about CIRO please visit Canadian Investment Regulatory Organization (ciro.ca).

Always get the latest news

Sign up to receive news and updates.

By providing your email address, you provide us with your express consent to send you commercial electronic messages related to finances and/or investments that maybe of interest to you. Should you wish to discontinue receiving emails of this nature, you may contact us to withdraw your consent at any time. Your personal information will not be distributed, sold, or traded – it will remain strictly confidential and will only be used for the purpose for which it was provided. For more information on Assante’s commitment to privacy and responsible use of information, please visit www.assante.com/privacy-policy 

bottom of page