What does it actually mean?

We often hear the phrase “The market is up” or “The market is down” and we think we have either made money [or lost out on making money] or we have lost money. The problem is the phrase is rarely connected to anything that has real meaning to us personally. Why is that? Because ‘up’ and ‘down’ are relative only when compared to what we own, and what we paid for it. So when a stock broker tells us ‘you’re doing great, the market is up’, is he telling us we have made money or that we have made up some of the losses we previously incurred and that the market is up only as compared to the day before? It’s important to understand what is meant by phrases that imply positivity. That’s why we try to stick to products that don’t imply, but that give assurances. Call us, we’re here to tell you what we know and help you sort through what your financial situation really is, and what you can count on versus what you hope will be the case.


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This commentary was created by a third-party for the Agent’s use. NTM 08-27.