FTSE 100 stocks have crashed 15% this year. Here are 3 reasons why I’d buy them today

first_imgSimply click below to discover how you can take advantage of this. Peter Stephens has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Peter Stephens | Monday, 2nd March, 2020 The FTSE 100’s performance over recent weeks has been hugely disappointing. The index has fallen by up to 15% from its 2020 starting price, experiencing its third worst week since inception during that time.Although coronavirus and political risks in the US and Europe could weigh on markets over the short run, in the long term now may prove to be a buying opportunity.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Many stocks appear to be undervalued, the index has a track record of recovery and the return prospects available elsewhere appear to be slim. As such, now could be the right time to buy a wide range of large-cap shares.ValuationsThe FTSE 100 currently yields around 5%. That’s its highest since the financial crisis, significantly higher than its average yield since inception. This suggests the index offers good value for money at the present time, and that many of its members have wide margins of safety.Certainly, the near-term prospects for many FTSE 100 shares are uncertain. A slowdown in the performance of the world economy now seems inevitable following the spread of coronavirus, and may mean the financial prospects for international companies deteriorate to some degree in the short run.However, in many cases, those risks seem to have been priced in to valuations by investors who have become increasingly nervous about the outlook for the world economy. New investors may, therefore, be able to buy FTSE 100 shares while they trade at a significant discount to their intrinsic values in many cases.Recovery potentialIt may not be possible at the present time to accurately gauge when the FTSE 100 will recover. It could, for example, experience a tough 2020 following over a decade of growth.However, its track record shows it has always recovered from corrections and bear markets to post new record highs. Sometimes this process of recovery has taken as little as a few months, while in other cases it has taken a few years. For long-term investors, though, the fact the FTSE 100 has always posted a successful turnaround should provide confidence that the index can do likewise following the outbreak of coronavirus.Relative appealInvestors have few attractive options outside of the stock market at present. The returns on cash and bonds are exceptionally low in many cases, while tax changes and high house prices mean that buy-to-let investments have become less appealing over recent years.As such, on a relative basis, shares appear to be highly attractive at the present time. They may not post a strong recovery in the short run, and there may even be more pain ahead for investors. But over the long run, a recovery seems to be highly likely. Therefore, now may be the right time to purchase a diverse range of FTSE 100 shares. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Image source: Getty Images. Our 6 ‘Best Buys Now’ Sharescenter_img Enter Your Email Address Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. “This Stock Could Be Like Buying Amazon in 1997” I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. See all posts by Peter Stephens FTSE 100 stocks have crashed 15% this year. 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