ETFs and Markets with Todd Sohn: The Bull Market Turns 3

10/09/2024

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This week, ETF expert Todd Sohn provides statistics on where the S&P 500 has been and what history tells us about the third year of equity bull markets.

DEFINITIONS

The S&P 500 is a stock market index tracking the stock performance of 500 of the largest companies listed on stock exchanges in the United States.

An exchange-traded fund (ETF) is a pooled investment security that can be bought and sold like an individual stock.

The Russell 2000 Index is a small-cap U.S. stock market index that makes up the smallest 2,000 stocks in the Russell Index.

A small-cap stock is a stock from a public company whose total market value, or market capitalization, is about $250 million to $2 billion.

A correction is a decline of 10 percent or more from an asset's most recent high.

A mutual fund is a type of investment that pools money from many people to invest in a variety of assets like stocks, bonds, or other securities.

Bond Exchange-Traded Funds (ETFs) are investment products that give you exposure to the performance of a diversified basket of bonds.

Bond mutual funds are those mutual fund schemes whose underlying assets are fixed-income securities, such as - government securities, debentures, corporate bonds, and other money market instruments.

Equity ETFs invest in a basket of company stocks (also known as equities or shares). They are the most common type of ETFs.

A return is the change in price of an asset, investment, or project over time, which may be represented in terms of price change or percentage change.

An equity mutual fund is a professionally managed investment fund that primarily invests in stocks, or equities, of various companies.

A bear market is a downward trend in financial markets, indicating a weakening economy and a loss of investor confidence.

A bull market reflects a price trend in which prices rise for an extended period of time.

This communication was prepared by Strategas (“we,” “us,” or “our”), a brand that offers investment advisory services through Strategas Asset Management, LLC, an SEC Registered Investment Adviser, and provides research to institutional investors through Strategas Securities, LLC, a broker-dealer and FINRA member firm and an SEC Registered Investment Adviser. This communication represents our views as of 10/08/2024, which are subject to change, and presented for illustrative purposes only. The information contained herein has been obtained from sources we believe to be reliable, but no guarantee of accuracy can be made. This communication is provided for informational purposes only and should not be construed as an offer, recommendation, nor solicitation to buy or sell any specific security, strategy, or investment product. This communication does not constitute, nor should it be regarded as, investment research or a research report or securities recommendation and it does not provide information reasonably sufficient upon which to base an investment decision. This is not a complete analysis of every material fact regarding any company, industry, or security. Additional analysis would be required to make an investment decision. This communication is not based on the investment objectives, strategies, goals, financial circumstances, needs or risk tolerance of any particular client and is not presented as suitable to any other particular client. Past performance does not guarantee future results. All investments carry some level of risk, including loss of principal.

Strategas Asset Management, LLC and Strategas Securities, LLC are affiliated with Robert W. Baird & Co. Incorporated ("Baird"), a broker-dealer and FINRA member firm, and an SEC Registered Investment Adviser, although the firms conduct separate and distinct businesses.

The ETFs described herein are referenced solely for illustrative purposes and should not be construed as an investment recommendation. An investment in exchange traded funds involves risk, including the possible loss of principal. For important disclosures and risks relating to each ETF referenced herein, see each respective funds’ prospectus or contact your financial professional