Is The Market About to Correct?

[Music] brought to you by the every dooll app start budgeting for free today I'm I'm 41 and uh I'm I'm really not planning to work until 60 some years old to retire and so uh I I have retirement and I have Investments that aren't retirement and so um I'm investing heavy right now and I feel like it's so overinflated at the moment and being that I'm not completely out I have significant money in right now would it be wise to to just collect 5% in the money market and wait for a correction uh I know you're more of a slow and steady just keep putting it in every week but um it just seems a little crazy right now yeah well um generally speaking the the reason it seems a little crazy is it's the first time you have stood on top of that mountain if You' stood on top of that mountain several different times it wouldn't feel as crazy and so it's an emotion that says I've never been here before and um and human nature I think there's something about you know there's a black side of human nature the a dark side of human nature that says oh it can't stay good nothing can stay good it's like if everything's good I have to look over my shoulder something must be wrong and that's human nature but that's an emotion Steve there's no data that says we're due for a correction if you had called me 5 years ago and I said oh yeah yeah we're getting ready to have a correction you would have missed out on a 90% rate of return you're in The Last 5 Years in the S&P 500 your money has doubled in the last five years and so and so why do we not think it's going to do that in the next five well I mean it goes up it goes down you know in 22 the market was down overall in 23 it was up 27% it's up 18% already this year but that doesn't mean that it has to correct because there's actual there's actual income and assets backing the the companies that create the stock price uh you don't you don't price Home Depot stock based on a wish a dream and a prayer Home Depot actually makes money and they own stuff you don't price uh Apple stock based on a wish and a prayer they actually make stuff and make a profit and you can use those numbers to determine the value of the company and therefore the value of the stock and that's where this is coming from it's coming from the prosperity of these companies George and what's amazing Steve if you actually look at the data if you go look at right now the S&P 500 returns you know the last major dip was covid and guess what March 2020 was the dip it came back in July back to record highs and so you got to just you know the old saying it's true it's not about timing the market it's about time in the market and the best investors out there are the average ones who just let it ride yeah so please don't try to time the market is the moral of this story and that's what you were asking about so and you know it's one of the reasons I tell folks to be in with a smart Vester Pro because all the data tells us that someone who has a good broker in their Corner not somebody who's a Shyer but somebody who's calm and D databased and they'll teach you talk you off the ledge you know talk Steve off the ledge uh they tend to keep you in the market you tend to say don't get out don't get out don't get out they don't call you up and go I'll be scared no don't get out don't get out don't get out set it and forget it set it and forget it time in the markets more than timing of the market that's a great phrase I love that phrase and and that so all the data says for that reason if no other reason a a good good broker in your corner a good smart Vestor Pro in your corner makes you money because they keep you from from from the uh as Churchill talked about his depression he said he called it the black dog right the black dog inside of every one of us is telling you um you know get out of the market it's going to crash get out of the market it's going to correct and there's nothing that indicates that well what causes a lot of that is the inputs you have in your life and I'm guessing you know Steve's watching some headlines and it's going we've hit record highs but what's around the corner what's going to happen with this election this year and what about the fed and the interest rates it's all got to come crashing down eventually there's clickbait every day since the internet was invented every day there's clickbait that says economists predicting the end of the world you know quickly read my article those guys are my favorite cuz whenever they're wrong they go oh we missed a calculation we're off by a few years we'll be back I go okay so I guess it wasn't the end of the world we're all still here so Steve please I got to tell you what what's George doing George is going to stay he's not looking for a correction what's Dave doing we're going to continue to invest we're not looking for a correction if someone handed me a million dollars today I I would an extra million that'd be cool I'll take it um I I would put it in the stock market in good mutual funds or I'd buy piece of real estate with it because I'm bullish on both I think that America The Best Is Yet To Come Baby the best is yet to come we're not done it didn't it didn't peek out we missed the top no you didn't miss the top yes cuz if you go back and look 30 years since I've been doing this I mean 2008 the Dow went to 6,800 it's almost 40,000 wow you know I mean goly what would your money be worth oh please please please don't time the I had people in my own family they took out money during when they got spooked cuz someone told them hey Now's the Time take the money out there's about to be a correction and then the money sat in a settlement account making 0% and then the market came back as it always does like a roaring and they lost out on all of that growth and it's heartbreaking to see and we get calls like that where they say Dave I haven't invested or I pulled my money out now what do I do I'm broke because I didn't stay on the roller coaster yeah and that was the last time we saw a major correction in the market was uh 2008 and the Dow took a dive it took a dive off a cliff down to from from uh I think it was about 14 and it went down to 68 it went back basically half your value what you had in your mutual fund if you had a million dollars it turned into 500,000 and that scared the crap out of people and you know what I did I scraped every dollar I could and I bought more it's on sale half off that's right you're at Kmart and the blue lights on any of you old people know what that means right Blue Light Special you don't even know what Kmart is much less what the blue light is but when I was a little kid a little redneck kid we would go to Kmart and they had these little roller things little square cabinet with a pole and a blue light on top and they would roll it over next to an item and put that item on a flash sale and turn the blue light on that's pretty impressive technology for for that blue light technology had a little hell extension cord followed it around so and so you thought the police had set up shop right there in that corner of the Kmart but um but all the redneck women run over there and got their deals I'm telling you so blue lights on it's a special it's a deal it's a special it's a bargain it's what that means and so if it's doing well be thankful and if it's not doing well it's on sale create your free every doll budget today the simplest way to budget for your life