And in 1990, the bear market
was set off by Iraq's invasion of Kuwait.
Yes, beta is very important in a bear market
or any market when explaining relative performance, but so is value.
24 market close, all three indexes were in correction mode as opposed to bear market
Stovall says all asset classes, except Treasuries, decline in a bear market
, although consumer staples, health care, utilities and energy have outperformed the benchmark 82% of the time.
His interpretation of the Dow Theory did a better job of navigating the 2007-2009 bear market
and subsequent bull market than any of the nearly 200 other stock market timing strategies monitored by the Hulbert Financial Digest.
The damage to stock prices was so great from the Showa Bear Market
that it took roughly 10 years after the initial bottom and a "modest" 2-year bounce of 2.
Financial planners are well positioned for this kind of work, he said, and the bear market
might have prompted them to take a second look at payout annuities.
The onslaught of the 2000 bear market
presented some financial planners with their first opportunity to test their skills--both investment and client management.
The defense in a bear market
is to build a diverse portfolio of value and growth mutual funds, individual stocks, and bonds, and to keep your cash in a high-yield money market," explains Richmond Heights, California-based financial advisor Joyce Muse-Harris.
Because 412(i) plans are funded exclusively with insurance company contracts--either annuities or annuities and life insurance--the funds within the plans are protected against negative returns, bear markets
and poor investment judgement, according to Michael Schulitz, a Lincoln assistant vice president.