NEW YORK — No matter who wins the presidential election it is important that you review your retirement accounts to see what they are being invested in.
According to Kiplingers.com, the stock market has, for the most part, ebbed and flowed with the four-year election cycle for the past 182 years. Wars, bear markets and recessions tend to start in the first two years of a president’s term. bull markets and prosperous times mark the latter half. Since 1833, the Dow Jones industrial average has gained an average of 10.4% in the year before a presidential election, and nearly 6%, on average, in the election year. By contrast, the first and second years of a president’s term see average gains of 2.5% and 4.2%, respectively so in order to make sure that your retirement account doesn’t take a big hit review it with your financial adviser to make sure it is not that volatile.
So, with election day around the corner, here’s what you need to do:
