With the S&P 500 up double digits year to date many investors are increasingly nervous about the next sell off. We thought we would look at recent history and examine the magnitude of intra-year declines. The chart below (courtesy of FactSet, S&P, and JP Morgan) shows the intra-year declines and calendar year returns beginning in 1980 - thru June of this year. Year to date thru June the intra-year decline for 2017 is just 3%. The average intra-year decline for the period is just over 14%. In the 37 calendar years the intra-year decline was less than 10% about 43% of the time. About 41% of the time the decline was above 10% but below 20% (technically a “correction” is a market that goes down more than 10%). In 6 years (16% of the time), the intra-year decline was greater than 20% (aka a “bear” market). While the markets have grinded higher with little interruption so far this year, investors forget we had corrections (albeit shallow) both last year and in 2015.