I got asked this today by a new client.
I wish I knew. Nobody does! Sure there are a million google opinions but that’s all they are; opinions.
What we do know is that it will come. Stocks rise and stocks fall. If we look at the MCSI World Index between 1970 and 2012 the average bull market has lasted 36 months followed a bear market lasting on average 10 months.
It’s normal! Happens all the time. The worst thing you can do when it does happen is to do something. Do nothing, ride it out and sit tight.
This is where having an investment philosophy that’s tried and tested will help you. If you believe the industry noise you’ll think that there’s someone who knows exactly how to position a portfolio perfectly in order to prepare for the next rise or fall. That’s simply nonsense.
Feel free to get in touch to have a chat about your existing stocks and shares ISA or other investment portfolio.