Stock Market Sell-Offs Are Painful. But History Shows Why Investors Should Hope for One.
Some of the best stock market returns happen following bear market bottoms.
Overview
Nobody enjoys watching their portfolio lose money.
A $100,000 portfolio that drops 20% suddenly shrinks to just $80,000. If the decline deepens to 30%, the balance drops to $70,000. When those losses start piling up, the natural reaction is to hope stocks recover as quickly as possible.
Details
But investors who are still years or decades away from retirement might want to look at market sell-offs differently.
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.