An anniversary is an easy reason to look back on an event, a point in time – good or bad, happy or sad – that has given our life meaning. The event can be personal (a wedding) or professional (the first day at a new job). For the purposes of this week’s Weekly Wire, for me, I guess it is a bit of both.


I was working as an equity portfolio manager when the S&P 500 bottomed out during the Great Recession, so how the stock market was performing at the time had a meaningful impact on me professionally, and, as you might imagine, it had been a very stressful 18 months as the index moved from its October 2007 peak to its March 2009 trough. Navigating that period had a meaningful impact on me personally, as I learned a set of coping skills that enabled me to better focus on what I could control and compartmentalize the pressures and challenges that a severe bear market brings. And to dig a bit deeper into the bear market of 2007 to 2009 (setting aside the countertrend rally of late 2008 / early 2009), the S&P 500 peaked at 1,576 on October 12, 2007, and bottomed out at 666 on March 6, 2009 (see chart - 14 years ago today), having given up approximately 58% of its value.


But, as we like to remind ourselves, markets go up much more than they go down, and the market sure has gone up since the S&P 500 hit 666 on March 6, 2009. More specifically, over the past 14 years, the S&P 500 has produced a total return of approximately 505% and an average annual return of 13.7% through today (I got to run those numbers on the same HP12C calculator I was using back in 2009, which was kind of neat). As we navigate a still very challenging macro and market environment, the resiliency of the US economy and the US stock market is something we all might want to keep in mind.


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The views expressed are those of Brinker Capital and are not intended as investment advice or recommendation. For informational purposes only. Brinker Capital Investments, LLC, a registered investment advisor. 660-BCI-3/06/2023