Returns in the stock market have been relatively flat for the past year. However, good news is that 2015’s flat stock market will see many investors make flat line capital gains in the stock market this year.
During the start of 2015, many investors were full of optimism that they will gain more by investing in stock market. There hopes did not materialize as there was a mini-crush towards the end of 2015. This turnaround of expectations as a result of increased volatility made many investors worried about future prospects. So this year, many investors will focus more on risks and this will boost their flat line capital gains.
Another aspect of stock the market that will boost 2016’s Prospects is the drop of oil prices in 2015. This still did not improve the attitude of many investors. As the price of oil continued to decrease, their sense of uncertainty in the stock market rose. However, there is hope because other areas of the economy are expected to gain positive hits.
The low returns that were experienced in 2015 will inspire success in 2016. Some analysts say that the stock market is now in a favorable position this year and this will bring positive surprises to those investors who will employ countermove swing on 2015 set back.
So, what should be your move?
Some successful investors like James Dondero will tell you that when stock markets appear weak, the wisest thing one can do is to invest in “safe” stocks. Jim is the co-founder and President of Highland Capital Management Firm, one of the leading capital investment firms in the United States. Mr. Dondero recently added Terry Jones to the Highland Capital team and has remained one of the few experts that I contact for advice about stock market prospects. Through his advice, I have been able to make wise investment decisions.
Jim’s journey towards financial freedom has motivated me to succeed in whatever I do. Jim pursued accounting and finance degree at the University of Virginia’s business school. Upon completion from University, he went for certifications to enable him to learn more about issues of accountancy and finance. Currently, he is Certified Management Accountant, Certified Public Accountant, Certified Chartered Economist and Chartered Financial Analyst. With all these qualification and experience, Jim is the right person to contact for capital investment and stock market ideas.
For more information about the stock market outlook in 2016, read this article on forbes.com.