Thank you for sharing!

Your article was successfully shared with the contacts you provided.

The way to make money in investments is simple, right? Buy low, sell high. Seems like such a straightforward concept.

If this is true then why do so many investors do the exact opposite? It’s been said that stocks seem to be about the only thing in the world people don’t want to buy when they’re on sale. A powerful example of this is found by evaluating the performance of the stock market versus that of the “average investor.” According to a Dalbar Inc. study, over the last 20 years (1998-2017) the S&P 500 stock index had an average annual return of 7.2 percent. By contrast, the average investor generated a meager 2.6 percent average annual return. To put some numbers around that, a $10,000 investment in the S&P 500 index would’ve been worth $40,169 in 20 years whereas the average investor’s $10,000 would have only grown to $16,709.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at [email protected]


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.