Sell in May and Go Away? Think Again?

MAAAAAAYYY THE FORCE BE WITH YOU.

"I recently stumbled upon the "Sell in May and Go Away" strategy, also known as the "Halloween Indicator" thru an article. As a matter of fact, do you know, during this time of the year, it seems like there's some buzz about this investment tactic.

And I find it to be pretty interesting and I took a quick dive into the article!

The gist of it?

This approach suggests that investors should sell their equity portfolios on May 1, convert the proceeds into cash, and then reinvest in stocks after the Halloween.

Though the precise origins of "Sell in May and Go Away" remain uncertain, it is believed to have historical roots in England. According to various sources, in essence stockbrokers would traditionally depart for summer vacations in May and not return until September.

So let's check it out ! Does "Sell In May And Go Away Works" ?

Source: Carson Wealth

As you know, I don't give much credibility to short-term stock market forecasts. Such predictions never sway my decisions to buy or sell stocks; I believe that remaining invested consistently yields the highest returns in the long term.

In fact, by adhering to the 'Sell in May' advice over the past decade would have resulted in missing out on substantial gains. Between 2014 and 2023, the S&P 500 recorded positive returns 80% of the time from May to October, with an average gain of 4%.

Time in the markets consistently outperforms attempts to time the markets.

So would l Sell In May and Go Away? Hmmm.... it's going to be a no for me.

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#JustinInCase: The above information is provided for general information only and does not constitute financial advice. While we have taken care to check the source of the information, we cannot guarantee that the information is accurate, complete or will suit your individual financial needs. Please refer to the original source for more details.