A bull market can promote overconfidence. You may be lulled into thinking that the major

indices will rise for years to come. That is not a given. The danger arrives if the market slumps and

your income is too heavily tied to equity performance. The upside is that when the bulls run, it may

be worth assuming greater risk exposure as a tradeoff for greater investment yields.

Asideways or bear market could reduce your income. If you are heavily invested in equities,

this is a natural consequence. Having a fair percentage of invested assets in debt securities may

help to offset it.

How can you spot a climate shift? No one has a crystal ball. If Wall Street behaves a certain

way for 2-3 weeks, that may be a clue. The classic bull market tends to be characterized by

confidence, optimism, minor volatility, small daily gains, and occasional losses. Emerging bear

markets tend to be rocky – featuring not only major descents, but also major rallies.

You may retire in one market climate, only to see another emerge. Market cycles are as

inevitable as economic cycles; a shift could coincide with your retirement.

Sources/Disclaimers:

This material was prepared for [Name] and does not necessarily represent the views of the

presenting party, nor their affiliates. This information has been derived from sources believed to be

accurate. Please note – investing involves risk, and past performance is no guarantee of future

results. The publisher is not engaged in rendering legal, accounting or other professional services.

If assistance is needed, the reader is advised to engage the services of a competent professional.

This information should not be construed as investment, tax or legal advice and may not be relied

on for the purpose of avoiding any Federal tax penalty.

MRR Tracking Number: #1-705650

Expiration date: 3/19