Major stocks are up over 60% since 2022, but experts warn these gains may increase your risk

Market Performance - Major U.S. stock indexes have gained over 60% since October 2022, with the S&P up about 90%, the Dow up about 61%, and the Nasdaq up about 126% [1] - Americans currently have more money in stocks than ever, with 45% of U.S. households' assets in stock holdings as of Q2 2025 [3] Market Outlook - Goldman Sachs and Morgan Stanley have warned of a likely global market correction within the next two years [2] - A potential market slump could significantly impact American wealth, especially given high inflation and an uncertain job market [4] Investment Strategy - Financial advisors recommend rebalancing portfolios to align with original investment plans, especially if it has not been done recently [5] - Rebalancing is essential for managing risk, as asset allocation should reflect the investor's risk tolerance and investment timeline [5]