Local financial expert talks about election year market volatility

MILWAUKEE (CBS 58) -- As the presidential election approaches on Tuesday, Nov. 5, the stock market may experience increased volatility, a common trend during election years.

Historically, election-year market behavior tends to be more unpredictable, though long-term returns often remain stable.

Tom Neumann from Drake & Associates discussed these trends when he joined us on Monday, Aug. 12, explaining that while Wall Street might show short-term fluctuations, the average election-year stock return is similar to non-election years.

He noted that political shifts do not significantly impact long-term market trends, which have been consistently positive since 1933.

Investors are advised to maintain a long-term strategy and avoid emotional decision-making during election years. Neumann emphasized that understanding your risk tolerance and consulting with a financial professional can help navigate the market during this period.

Learn more from Drake & Associates by visiting them online.