Author Topic: Midterm elections: A sure bet for investors?  (Read 1760 times)

NWOutlier

  • Stubble
  • **
  • Posts: 114
  • Age: 51
  • Location: Seattle Area
Midterm elections: A sure bet for investors?
« on: November 05, 2014, 08:27:00 AM »
http://finance.yahoo.com/news/why-investors-love-midterm-election-120000754.html

this is something I didn't know about; even if we don't hit those double digit growths mentioned in the article and video, it will be a nice bump for my VTSAX (not directly the S&P, but includes it)... Anyone else targeting 10,000 or more shares of VTSAX?


Thoughts? Share them here.

Regards,

Steve (NWOutlier)

VirginiaBob

  • Bristles
  • ***
  • Posts: 429
    • LRJ Discounters
Re: Midterm elections: A sure bet for investors?
« Reply #1 on: November 05, 2014, 08:42:57 AM »
Not a sure bet of course, but it is interesting that the current situation of a Republican congress/Democrat president produces the best results historically during the 6 months after the mid-term elections:

http://www.forbes.com/sites/advisor/2014/10/28/midterm-elections-bode-bullishly-for-u-s-stocks/

Could be a 20% gain in 6 months if the historical trend stands up.

surfhb

  • Guest
Re: Midterm elections: A sure bet for investors?
« Reply #2 on: November 05, 2014, 11:44:05 AM »
No reason to deviate from your plan.   Do you have one?

These short term events have little bearing on the markets as a whole.   

VirginiaBob

  • Bristles
  • ***
  • Posts: 429
    • LRJ Discounters
Re: Midterm elections: A sure bet for investors?
« Reply #3 on: November 05, 2014, 11:50:31 AM »
Also lines up well with the "sell in May and go away" strategy:

http://www.investopedia.com/terms/s/sell-in-may-and-go-away.asp


clarkm04

  • Stubble
  • **
  • Posts: 182
Re: Midterm elections: A sure bet for investors?
« Reply #4 on: November 05, 2014, 12:23:04 PM »
Looks like a classic case of correlation doesn't equal causation.

I give Yahoo props, it's got to be hard to come up with new correlations that might explain a typically random thing such as the US stock market.

VirginiaBob

  • Bristles
  • ***
  • Posts: 429
    • LRJ Discounters
Re: Midterm elections: A sure bet for investors?
« Reply #5 on: November 05, 2014, 12:31:34 PM »
Looks like a classic case of correlation doesn't equal causation.

I give Yahoo props, it's got to be hard to come up with new correlations that might explain a typically random thing such as the US stock market.

This isn't really a new correlation.  I've seen this article rehashed so many times during so many election cycles.  You actually thought yahoo had original writers?