Cordasco Financial Network’s First Quarter Knowledge College
April 19, 2018
The stock market over the last few years has acted, to some degree, like a lullaby. With strongly positive returns coupled with little market volatility, investors had been lulled into thinking this was the new norm. For those investors, the first quarter of 2018 was likely a rude awakening. We all know volatility and risk are a necessary evil to the capital markets. However, it is often difficult to judge what is normal and what is abnormal. While historical volatility is not a good predictor of future volatility, it does give us a baseline to compare against and set expectations of what we were willing to endure.