That said, several previous periods of increasing rates
happened during bear markets, like 1974, making alternatives to bonds tough to find.
Bitcoin has turned its 200 daily moving average from support into resistance, which is typically what
happens during bear market continuation patterns.
You might want to check and see how your funds and similar ones did during down periods to get a feel for what could
happen during a bear market.
Not exact matches
However, although sharp corrections are somewhat rare (they have only occurred in nine years since 1962), they have
happened more often
during bull
markets than
during bear markets, and thus have often presented buying opportunities historically.
This also
happened during the 2000 - 2003
bear market.
I also noticed that this
happened during the most difficult
bear markets.
VIIa is what
happens if the stock allocation is 100 % at low P / E10 and 0 % at high P / E10 and
during long lasting (secular)
Bear Markets.
Extreme pessimism tends to only
happen during «significant corrections» or
bear markets.
And it does miserably at preserving capital
during a
bear market — exactly what
happened over the last decade.
And it will do very poorly at preserving capital
during a prolonged
bear market - exactly what
happened over the last six years.