Indeed. It doesn't always workI agree. However during the GFC didn’t markets everywhere drop by ~50% and some countries even more?Most of the replies here concern individual stock markets. It's important to note that international diversification has historically mitigated severe declines. For example during the Great Depression years, where the US saw 80-90% market drops, the British stock market fell more like 35%. Having a healthy international stock allocation helps me be more confident in modelling a 50% stock decline as a worst case scenario.
Statistics: Posted by TipsQuestions — Wed Sep 18, 2024 10:47 pm