Why Staying Fully Invested Matters: The Cost of Missing the Market’s Best Days
- Brett Volpe
- 1 day ago
- 3 min read
At Volpe Financial Solutions, we often hear questions like: "Should I pull my investments during a downturn?" or "Can I re-enter the market when things calm down?"
It’s a natural reaction — market volatility can be unnerving. But before you make any moves, it’s worth considering what history tells us about trying to time the market.
Let’s take a look at a powerful illustration using the S&P 500 (a common measure of stock market performance), over a 20-year period from 2003 to 2023.
Panel 1: Stayed Fully Invested
$10,000 invested in 2003
Final value after 20 years: $64,844
Despite market ups and downs — including major events like the 2008 financial crisis and the COVID-19 crash — staying the course rewarded investors with solid long-term growth.
Panel 2: Missed the 10 Best Days
Missed just 10 best-performing days
Final value: $29,708
That’s a 54% decrease compared to staying fully invested.
Panel 3: Missed the 20 Best Days
Final value: $17,146
A stark drop — losing out on nearly 74% of what could have been earned by simply staying invested.
Panel 4: Missed the 30 Best Days
Final value: $10,546
Barely above the original investment, with two decades of opportunity effectively erased.
What’s the Takeaway?
The most powerful lesson here is that market timing is extremely difficult — even for the pros. In fact, 7 of the 10 best days happened within just two weeks of the 10 worst days.
In other words, the best days often follow the worst. If you try to sidestep a downturn, you could easily miss the upswing that follows.
“Time in the market beats timing the market.”
What Should You Do Instead?
Stick to your plan. Work with a financial advisor to build a diversified, long-term investment strategy tailored to your goals.
Don’t let emotions drive decisions. Reacting to short-term fear can cost you in the long run.
Review, but don’t overreact. It’s wise to periodically revisit your financial plan, but avoid knee-jerk reactions based on headlines.
At Volpe Financial Solutions in Oakville, we’re here to help you stay the course with confidence. Whether you're planning for retirement, building wealth, or saving for the future, we provide investment advice grounded in data — not guesswork.
Let’s talk about your long-term goals. Reach out today to book a consultation.
Disclaimer:
The comments contained herein are a general discussion of certain issues intended as general information only and should not be relied upon as tax or legal advice. Please obtain independent professional advice, in the context of your particular circumstances. This blog was written by Brett Volpe], for the benefit of Brett Volpe, Financial Advisor with Volpe Wealth Management, a registered trade name with Investia Financial Services Inc., and does not necessarily reflect the opinion of Investia Financial Services Inc. The information contained in this article comes from sources we believe reliable, but we cannot guarantee its accuracy or reliability. The opinions expressed are based on an analysis and interpretation dating from the date of publication and are subject to change without notice. Furthermore, they do not constitute an offer or solicitation to buy or sell any securities.
Mutual Funds are offered through Investia Financial Services Inc. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.