Every four years, the presidential election throws investors into a frenzy of speculation regarding what each candidate would mean for the world of finance. In what seems like the most chaotic election in memory, uncertainty about financial markets and your portfolio is only natural. It is important in moments like these to take a step back and consult the history of US equities. The following chart from Dimensional Fund Advisors uses the hypothetical growth of $100 in a total market index fund to depict market performance starting in 1929.

What the data shows is that while presidential administrations can have an impact of financial markets in the short-term, US equities have had a consistent upward trend for close to a century. While past performance is no guarantee of future success, this trend should serve as a comfort for all investors worried about the effect of the election on their portfolio. It reaffirms that the most secure path to a successful portfolio is to invest early and for the long term. For more information on how we can help you invest for retirement, visit our website www.kdminvest.com.

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