Counsel’s Chief Investment Strategist Rana Chauhan provides his summary of 2023 and notes that 2024 will likely be a contentious election year in the U.S. as a political circus unfolds south of our border.
In 2023, the markets experienced a mixed start, with positive news from Artificial Intelligence and falling inflation.
However, negative news about bank failures, stubborn inflation, the Ukraine war, and a new conflict in the Middle East intervened which led to some tough months for investors. Despite these challenges, the S&P 500 managed to provide a healthy 24% return for the year.
As an investor, however, Rana believes it will be crucial to maintain faith in the future by focusing on what matters most and tuning out the negative noise.
2024 Outlook
Rana expects that 2024 will likely be a contentious and unpredictable election year in the U.S., with political parties and the press likely sowing confusion and uncertainty among investors. This uncertainty will likely create a sense of fear in the markets, which can be the primary cause of market volatility and investors questioning their investments. As an investor, however, Rana believes it will be crucial to maintain faith in the future by focusing on what matters most and tuning out the negative noise. Investors will need to focus on companies creating products and services that we use daily and embrace the promise of Artificial Intelligence that marks a new innovation cycle, similar to how the internet led to the creation of new companies during the 2000s.
Maintaining faith in the future, the companies we invest in, the management teams that lead new developments, and the financial advisors who create financial plans for investors will be essential to successfully navigate the changing political landscape and the market volatility that is likely to emerge in the year ahead.
To manage through this tough period in the markets, Rana suggests the best course of action is sticking to the financial plan and to discuss any concerns you have with your Financial Advisor.
Disclaimers:
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