A popular holiday song touts December as “the most wonderful time of the year.” This is especially true for investors, as in the last 20 years, the S&P 500 index has moved higher in December 75% of the time. In each of those years, the index gained an average of 1.5%
One reason for this is that fund managers often use the month of December to rotate into top-performing stocks in order to improve their portfolio appearance.
