Staying on Course – NR comments from deep in the 2008 crisis
While data and financial theory support equities as a superior long term investment to cash and bonds, this can be difficult to remember during large market declines. There have been few periods worse than the 2008 financial crisis; the S&P 500 declined 54% from its 2007 peak, major banks and institutions collapsed or had to be rescued, and to many, it seemed like Armageddon was upon us
Recessions and Bear Markers are not created equal
Very often ‘This time it is different’ is true ! The causes, the length and the severity of recessions and Bear markets are not the same ! Depending on the cause and on the policy actions undertaken the depth and the duration CAN BE VERY DIFFERENT.