We asked investment experts
and advisors to provide their
interpretations of its return — and
how to deal with future bumpiness
The surge of volatility in early
February reminded investors
the stock market does not
only go up.
On Feb. 5, 2018, the S&P 500 stock market index fell 113 points, or 4.10%, to 2,648.94, while the VIX index that tracks changes in underlying market moves jumped to a stunning 37. 32, up a historic
116%. That same day, the Dow Jones Industrial Average crashed 1,175
points to hit 24,345.75.
This woke up most market watchers, made more than a few
traders weep with joy and shook up many investors. The 17
investment experts and advisors who shared their views
with Investment Advisor, though, had this
sober take on the development: The “new”
volatility is normal, and the smooth sailing
investors have been experiencing over
the past year or so is not normal. In
other words, don’t panic.
By Ginger Szala | Illustration by Benedetto Cristofani