If you’ve felt unsettled by the markets lately, you’re not alone.
A quick glance at headlines—rising rates, tech sector pullbacks, geopolitical worries—can make it feel like we’re walking a financial tightrope. But zoom out, and a different story emerges. One of growth, resilience, and perspective.
Let’s talk about it.
The chart above tells a powerful story. Each bar represents the S&P 500’s annual return for a given year since 1990. The green diamonds below the bars show the largest intra-year drawdowns. In other words, the biggest dips from a market high during that year.
This simple chart carries a timeless truth: volatility is normal. And more importantly, it’s survivable.
Even in years when the market finishes strong, it rarely gets there in a straight line. Take 2020, for example. The market dropped nearly 34% in the early stages of the pandemic, only to recover and finish the year up 16%. That’s not a fluke. It’s the pattern.
From 1990 to 2024, the S&P 500 has delivered an average annual return of 10.5%. That’s an impressive long-term track record by any standard. But here’s the part many investors miss: the average intra-year drop over that same period is -14.1%.
Think about that.
To earn those long-term returns, investors had to be comfortable with markets temporarily pulling back—sometimes sharply—almost every year. It’s the emotional price of admission for long-term growth.
This isn’t a reason to panic. It’s a reason to prepare.
In 2025, we’ve already seen this dynamic play out in real time.
The S&P 500 is up roughly 2% year-to-date. But that modest gain followed a significant drawdown earlier in the year of -19%. Nearly a bear market, depending on which day you checked.
What we’re seeing is a perfect example of short-term volatility inside a longer-term trend. And while the movement can feel unsettling, it doesn’t mean the strategy is broken. It means the market is doing what markets do.
We get it—drawdowns don’t feel good. No one enjoys watching their portfolio lose value, even temporarily.
But volatility isn’t necessarily a sign that something’s wrong. In fact, it’s often a sign that markets are functioning as they should—adjusting, recalibrating, and responding to new information.
More importantly, volatility creates opportunity. It allows long-term investors to rebalance, reinvest, and stay aligned with their goals.
At SteelPeak, we don’t try to dodge volatility. We plan for it. And we build portfolios that can withstand it—so that you don’t have to make emotional decisions in the heat of the moment.
Risk is not just about returns going up or down. It’s about what those movements mean to your life, your goals, and your timeline.
Our job isn’t just to chase returns. It’s to help you stay invested through the ups and downs, so you can capture the full benefit of market growth over time.
That means:
Because it’s not just about performance. It’s about peace of mind.
Let’s take a step back. Since 1990, there have been recessions, wars, tech bubbles, housing crashes, pandemics, and political showdowns. And yet, the market has delivered solid long-term returns through it all.
That’s the power of time in the market, not timing the market.
If you’re feeling unsettled by recent headlines or market movements, we encourage you to focus on what you can control:
Volatility is not a detour from the path. It is the path. And when viewed through a long-term lens, it’s part of what makes meaningful growth possible.
At SteelPeak, our approach is grounded in data, discipline, and deep empathy for the real lives behind the portfolios. We’re here to help you navigate the ups and downs with clarity and confidence, because wealth isn’t just about growing your assets. It’s about sustaining your future.
If you have questions about how your portfolio is positioned, or if you just want to talk through what you're feeling, we’re here.
Let’s talk.