Time in the market, not timing the market

It’s sometimes hard to keep our eyes off the market’s ups and downs, but evidence shows that taking a long-term investment approach will generate competitive returns. Here’s why!

Buy when prices are low and sell when they’re high. It’s simple, right? Wrong.

Timing the market is no easy feat and can often lead to missed opportunities. Getting it wrong by even a day or two can significantly impact your returns if you lock in losses or miss out on a rally.

History shows that, over the long term, staying invested through highs and lows has generated competitive returns.

Fight, flight or keep faith?

Consciously trying to time the market isn’t the only thing that can take a bite out of your portfolio value. Even the most level-headed investors can be swept up in high-profile events and make short­term trades or even sell early.

Reacting impulsively and abandoning a carefully crafted plan might make you feel in control, but it can also mean missing out on meaningful returns over the long run.

What would happen if you stayed invested for the duration compared with missing the best days? See for yourself.

On the money

Time is one of the best assets that investors have. Over the long term, markets have historically trended towards steady growth, rewarding patience over reactive decisions. What’s more, if you’re sitting on the sidelines waiting for the ‘perfect’ moment to invest, you face the same risks as those tinkering with their portfolios.

During times of volatility, we turn to the timeless, golden rules of investing. This means being in it for the long haul, with a goal or plan to guide us, and acknowledging that there will always be times when markets are more volatile.

A long-term relationship with your adviser gives you guidance and stability over time, as well as the confidence that you have a clear, detailed plan of how you can achieve your long-term goals.

Let’s start a conversation

Good financial advice can help you drown out some of the noise about market moves and plan how to respond to any volatility.

With more than 20 years’ experience in the industry, my passion lies in getting the best out of people and their plans – helping you take the best possible care of you and your family’s financial well-being.

Past performance is not indicative of future performance. The value of an investment with St. James’s Place will be directly linked to the performance of the funds you select and the value can therefore go down as well as up. You may get back less than you invested.

Wellesley is an Appointed Representative of and represents only St. James’s Place Wealth Management (which is authorised and regulated by the Financial Conduct Authority) for the purpose of advising solely on the Group’s wealth management products and services, more details of which are set out on the Group’s website at www.sjp.co.uk/products. Wellesley is a trading name of Wellesley Investment Management Ltd.

SJP Approved 26/06/2025