The S&P 500 Is Close to Its All-Time High. Should This Excite or Worry Investors Going Into 2026?

Core Insights - The S&P 500 index reached an all-time high of just over 6,890 on October 29, and as of December 8, it is at 6,870, close to its peak [1][2] - Investors are generally optimistic about the S&P 500's long-term performance despite concerns over high valuations and potential corrections [2][4] Investment Strategy - Consistency in investing is emphasized over attempting to time the market, with dollar-cost averaging recommended as a strategy to mitigate risks associated with market fluctuations [4][6] - An example of dollar-cost averaging is provided, suggesting regular investments regardless of stock price, which can help reduce stress and improve long-term outcomes [5][6] Market Performance - The Vanguard S&P 500 ETF (VOO) has reached multiple all-time highs in 2023, demonstrating resilience and continued growth despite market peaks [7][8] - The closing prices of VOO on recent all-time highs are listed, showing a steady increase in value [8] Long-Term Investment Perspective - VOO is highlighted as a strong long-term investment due to its diversification, proven results, and low expense ratio of 0.03% [11][12] - The focus on long-term potential rather than short-term price fluctuations is encouraged, suggesting that high valuations do not necessarily indicate an impending decline [14]