If this is the beginning
of a bear market in bonds, it is unlikely to be a very long or painful one.
That's not to rule out the possibility that the final
low of the bear market is behind us (though I doubt it).
In the
event of a bear market, you avoid «selling» for several years, allowing equity prices to recover before you need access to the funds.
However, the risk - return profile of those holdings has been altered to manage and diminish the
impact of bear markets.
Whether this marks the end
of the bear market remains to be seen, but for now it seems unlikely that we will see lower lows in the immediate future.
There is also another possibility and that is that we are seeing the final
days of the bear market sentiment in gold.
On average, the first 100 trading days of recession - induced bear markets contain only a quarter
of the bear market losses and have lower volatility compared with the full downturn.
You don't know if it's the first
leg of a bear market or just a correction before the final leg of the bull market.
Investors generally continue to deny the
likelihood of a bear market or a recession, so the phrase «healthy correction» usually comes up a lot.
Maybe some sort of market timing using index funds or ETFs might be better so that you can avoid the
majority of bear market pain on leveraged money.
If you are new to stock trading, you must know that bull markets do not trend in a straight line (the same is
true of bear markets).
You guys began in the
middle of a bear market in the 1970s, in your work in markets, how did that impact your psychology the rest of your career?
Mutual funds continue to struggle with image problems in the
wake of a bear market and subsequent trading scandals.
For investors, understanding the specific
signals of a bear market transition can help them better position their portfolios.
Phrases with «of a bear market»