Every single year since 1950, the S&P 500 has experienced an intra-year drawdown — averaging -13.7% at its worst point.
Yet, over those 76 years, the index delivered an average +11.5% total return annually.
Even in years with double-digit drops (like -48.8% in 2008 or -33.9% in 2020), many ended positive or recovered strongly. Green years far outnumber the red ones — volatility is simply the price of admission for long-term gains.
2025 was no exception: -18.9% max drawdown, but still closed with +17.9% total return.
2026? Expect another dip. It’s coming. But history shows downside volatility isn’t the enemy of high returns — it’s the reason they exist.
Stay invested, stay disciplined. The market rewards patience
