BACK TO SCHO TIPS FOR A SUCCESSFU
With summer break tragically ending (as it does, sadly, every year), it is time to get back in the groove and prepare for the new school year. If you want to help your kids get over the first-day jitters and start out strong, employ these tips to make their first day back at class so successful that others will want to study it. GETTING A HEAD START According to research by the Center for Economic Security and Opportunity, students lose as much as 25%–30% of the knowledge they accumulated the previous school year over summer break. Reading and math skills are particularly affected and see the highest regression rate. And the higher the grade level, the more students are likely to forget. The best way to combat this summer slump is to keep learning. Reading books and practicing arithmetic at least three times a week will help kids maintain what they have previously worked so hard to learn.
Bulls, Bears, and Ballots — Oh, My! DECODING ELECTION YEAR STOCK MARKET TRENDS
Making money in the stock market can often evolve into a pattern recognition game, with investors searching for any repetition in past data. Many traders and analysts have noticed a particular market trend in election years — and some wonder what that means for 2024. Let’s look at the data gleaned from previous years and uncover how (if at all) it applies now. EMERGING PATTERNS A bull market is an economically stable time when prices are increasing. In contrast, a bear market is when stocks are losing value. Typically, stock market patterns in presidential election years show a weaker first half (bear), followed by a dip around May. After June, the index usually rises (bull), and the Dow’s second-half return in election years is an average of 8.6% as opposed to 3% in other years.
LOOKING TO THE FUTURE Investors are always trying to hedge their bets and plan for long-term economic downturns, another pattern worth looking into. According to T. Rowe Price, a global investment management firm, there’s a 22% probability of an election happening during a recession. What’s interesting, however, are the numbers in the years that follow. There’s a 57% chance the following 365 days will have a recession, with the second and third years coming in at 30% and 17%, respectively. The big question remains: Will the winner of this year’s race create an unstable market? Rob Haworth, senior investment strategy director at U.S. Bank Wealth Management, says, “At the presidential level, the differences between the candidates, from an investor’s perspective, are not as significant as many would expect.” Change is constant in the markets, so don’t base your entire portfolio on this historical data. Trends like this are never guaranteed to repeat — they’re simply
So, based on history, the stock market usually performs weaker at the beginning of an election year due to economic
interesting patterns discerned in previous years. Instead, use this information to inspire your investments and empower yourself with clever strategies for cultivating long-term financial stability.
uncertainty surrounding the candidate’s policies. As the year goes on and the parties
solidify their plans throughout their campaigns, that ambiguity wanes, and the market picks back up.
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