What History Reveals About Buying the Vanguard S&P 500 ETF in Volatile Markets
Market corrections are normal for the S&P 500 and should be expected. How you handle them can improve your returns over time.
Overview
S&P 500 (SNPINDEX: ^GSPC) performance and stock market volatility generally aren't good friends. When volatility picks up, it usually coincides with falling stock prices.
Thankfully, investors haven't had to deal with a lot of it in 2026. The Vanguard S&P 500 ETF (NYSEMKT: VOO) fell by around 9% during the early stages of the Iran war. But beyond that, pullbacks of even 4% have been uncommon.
Details
That's not the norm, though. Corrections of 10% to 15% are pretty common and typically occur every one to two years. Even those kinds of pullbacks can feel painful and cause investors to alter their long-term investment plans. That tends to be the wrong thing to do. A lot of folks end up selling only after stocks have declined and fail to get back in the market until the recovery is already well underway.
Source
Originally published at www.fool.com.
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