Yesterday marked the longest market rally in history!
Well, it’s finally official: as of yesterday, the current market rally is the longest in history. Well, sort of. Depending how you measure it. Still, popular opinion on the Street is that the current S&P 500 rally that started in March 2009 is, as of Wednesday, the longest the world has ever seen. The major points of contention are whether or not to round up the numbers – and whether the numbers in question are anything other than arbitrary. Still, however you dice it – things have looked pretty rosy now for a while!
Here’s a pertinent question: why do we define a bull market as a rally that goes beyond 20% and is never interrupted by a 20% fall? The answer, it seems, is “just because”. That’s what the old guard did, so do we. Here’s another question: should we consider a 19.92% drop as a 20% drop?
Justin Walters, Bespoke Investment Group LLC’s co-founder, said: “If you round the data, you’re going to get a certain number of bull markets. If you don’t round, you’re going to get a different number. If you want to do that, that’s fine, but it’s not using the standard 20% definition.”
Lets be clear – there are a few periods in the last decade that have looked a little… shall we say... difficult? Some of those periods have been pretty recent. This year, in fact, the tech sector has seen some of its biggest beasts take a hit. However, as investors will have seen when we published our Ecommerce Fund Anniversary Newsletter earlier this month, the right investment strategies have been more than enough to compensate for that.
Dominion’s Ecommerce Fund, which has a higher exposure to tech stocks than any of our other Funds, has seen solid gains so far this year
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