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Happy Sunday! Here’s what we’re covering in today’s Clark Smart Investing newsletter:
What are your odds of losing money in the stock market?
What it would take each month to build your own Social Security check from scratch
5 times renting in retirement makes more sense than owning
Q&A with Wes Moss: Is holding $350,000 as short-term available cash too much for a retired couple with existing investments?
💵 What Are Your Odds of Losing Money in the Stock Market?
The stock market can feel risky, especially when headlines focus on crashes and bear markets. But history shows that time changes the equation.
Using 50 years of S&P 500 total returns, we found that over a single year, investors lost money nearly 1 in 5 times. But as the holding period increased, the odds of losing money dropped dramatically. In fact, no 15-year period since 1975 ended with investors losing money.
The reason is simple: Short-term market movements can be unpredictable. But over longer periods, the market has historically had time to recover from downturns and reward patient investors.
To find out how much holding time matters, we analyzed every possible investment period using S&P 500 total returns from 1975 through 2025, including reinvested dividends. Rather than looking only at fixed decades, we tested every rolling period to see how often investors actually lost money over different holding periods.
Worried about a market crash wiping out your savings? Before you panic-sell, you might want to look at what history actually says about your odds of losing money in the stock market long-term. The numbers might surprise you.
📚 Recommended Reading
Relying solely on Social Security for retirement? You might want a backup plan. Here is what it actually takes each month to build your own private pension from scratch. Read more.
Would you ever give up your mortgage to become a renter in retirement? While traditional wisdom says to buy, renting can offer flexibility, tax savings, and fewer headaches during your golden years. Here are the key times renting in retirement makes far more sense than owning. Read more.
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The happiest retirees don't just stumble into fulfilling lives, they intentionally create them. Discover how identifying your "Green Zones" could help you focus on the people, places, and activities that matter most.
💬 Ask an Advisor
✅ Poll: What’s Your Take?
Every week, we'll ask a new question to get your take on the latest financial trends and topics.
Last Week’s Poll Results
We asked: “Do you consider yourself a seasoned investor?” Here’s how you answered:
Yes - (38%)
No - (32%)
Working on it - (30%)
💸 Money Tip of the Week
Shop your phone plan: Clark recently covered the T-Mobile price hikes on his podcast, and he strongly recommended us to look at our phone bills. By breaking up family plans based on actual usage, avoiding the "free iPhone" trap that locks you into expensive contracts, and exploring budget-friendly sub-brands that use the exact same towers, you can slash your monthly bill down to $10–$30 a line. Calculate your annual cell phone spend today—you might be shocked by how much you can save!
☎ Need Money Help?
The Team Clark Consumer Action Center is a free helpline that can help you navigate your money questions. Call 636-492-5275. Visit clark.com/cac for more information.
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This information is provided to you as a resource for informational purposes only and is not to be viewed as investment advice or recommendations. Investing involves risk, including the possible loss of principal. There is no guarantee offered that investment return, yield, or performance will be achieved. This information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Any company names shown are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security. The views and opinions expressed are for educational purposes only as of the date of production/writing and may change without notice at any time based on numerous factors, such as market or other conditions. Always consult your own legal, tax, or investment advisor before making any investment/tax/estate/financial planning considerations or decisions.
