Key Things To Remember:
2) Do not try to predict market movements during the US election.
3) Remember that the stock market goes up on average over time, no matter which party is in power.
How Do Markets Perform During Election Years?
| Year | Return | Candidates |
| 1928 | 43.6% | Hoover vs. Smith |
| 1932 | -8.2% | Roosevelt vs. Hoover |
| 1936 | 33.9% | Roosevelt vs. Landon |
| 1940 | -9.8% | Roosevelt vs. Willkie |
| 1944 | 19.7% | Roosevelt vs. Dewey |
| 1948 | 5.5% | Truman vs. Dewey |
| 1952 | 18.4% | Eisenhower vs. Stevenson |
| 1956 | 6.6% | Eisenhower vs. Stevenson |
| 1960 | 0.50% | Kennedy vs. Nixon |
| 1964 | 16.5% | Johnson vs. Goldwater |
| 1968 | 11.1% | Nixon vs. Humphrey |
| 1972 | 19.0% | Nixon vs. McGovern |
| 1976 | 23.8% | Carter vs. Ford |
| 1980 | 32.4% | Reagan vs. Carter |
| 1984 | 6.3% | Reagan vs. Mondale |
| 1988 | 16.8% | Bush vs. Dukakis |
| 1992 | 7.6% | Clinton vs. Bush |
| 1996 | 23.0% | Clinton vs. Dole |
| 2000 | -9.1% | Bush vs. Gore |
| 2004 | 10.9% | Bush vs. Kerry |
| 2008 | -37.0% | Obama vs. McCain |
| 2012 | 16.0% | Obama vs. Romney |
| 2016 | 12.0% | Trump vs. Clinton |
Data Source: Morningstar
How Do Markets Perform Under Different Administrations?
How To Manage Your Investments During An Election Year
Should you make changes to your asset allocation during an election year or after a new president is elected? Probably not. Focusing on what you can control is key when investing for the long-term. Even if the market is caught off-guard by the election results (as evidenced in 2016 when President Trump won), the shock will likely be temporary. It can be hard, but it’s really important not to allow personal feelings about politics interfere with your financial plan.
The Information is being presented without consideration of the investment objectives, risk tolerance or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results.
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