The reason is that there is a reasonably high
chance of a market correction in the next five years (not specific to now, although there are particular reasons why this might be true now).
Not exact matches
Last year, during the booming stock
market, analysts at Vanguard Group warned that there was «a little froth» and that there was a 70 %
chance of a
correction, defined as a 10 % or more change in stock prices to adjust for overvaluation.
The long - term picture is still far from promising given the internal weakness
of the
market, and the coming two months sport the most negative seasonality in the year, so the
chances of a deeper
correction will are high.
But there's also a real
chance that he's been slightly underrated the past few years, and he's destined to go down in history as one
of the greatest shooting guards ever, and this season is the beginning
of a
market correction as everyone learns to think about his place in the NBA a little differently.
There's a good
chance that a lot
of the news traders typically factor into their decisions has been shoved to the back
of the mental closet lately, thanks to the dual dramas
of a
market correction and trade - war worries.
If the former is true, then investors are well - advised to steer clear
of the company's shares because there is a
chance that asset value will face a downward
correction by the
market, leaving investors with negative returns.