Downs of Market Volatility
Market Volatility and Your Investment Goals
No one can predict the ups and downs of a volatile market, but staying focused on your long-term investment goals can help ease your mind.
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Investing for the Long Term
Focus on the long-term investment goals you have established and not on how to avoid a short-term loss. The market will fluctuate up and down over time. Focusing on the long term will help to minimize your concerns about daily fluctuations.
Focus on the long-term
goals you have established.
Diversify Your Investment Portfolio
Investing in a mixture of investment products can help reduce the risk associated with putting "all of your eggs in one basket."
Regular investing through a pre-authorized chequing plan allows you to buy more shares when the price is low and fewer shares when the price is high. This process of regular investing, when used regardless of fluctuating price levels, is called dollar-cost averaging.
Dollar-cost averaging helps to reduce the average cost of fund shares over a long period of time. It won't assure a profit or protect you from a loss, but it's a way to average out the cost of fund shares when investing for the long term. You should also consider your ability to continue making regular investments through periods of low price levels.
Your State Farm® representative can help you learn how investing for the long term, diversifying your portfolio and investing regularly can help ease the uncertainty created by a volatile market.
Have Questions About Investing?
Talk with a State Farm representative about your current needs and opportunities. Simply click, call or stop by an office in your neighbourhood today!
Mutual Funds are not insurance products and are distributed through representatives of State Farm Investor Services (Canada) Co. State Farm Investor Services (Canada) Co. is a separate legal entity from State Farm Mutual Automobile Insurance Company, or any of its insurance affiliates.
Please read the applicable Fund Facts before investing. Commissions, trailing commissions, management fees, and expenses may be associated with mutual fund investments.
Mutual Funds are not guaranteed, their values change frequently and past performance may not be repeated. Mutual fund securities are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer.
Neither State Farm nor its agents provide tax or legal advice. Please consult a tax or legal advisor for advice regarding your personal circumstances.
State Farm Investor Services (Canada) Co. Aurora, Ontario.