Apr 3, 2018
Learn why some of the most
memorable market crashes happened and how to safeguard your money
in case of a future crash.
Main Questions Asked:
- How did these market crashes
- What can we learn from these market crashes?
- What can we do today to safeguard our assets from a future
Key Lessons Learned:
Most Memorable Market Crashes
- Black Tuesday on October 29, 1929. The Dow fell by 12% which would be equivalent
of the Dow dropping by 2800 points today. This was the end of
irrational exuberance. It took up until 1944 for the market to
regain its 1929 levels.
- The dot com crash. Many analysts say the crash started on April
14th of 2000. The tech bubble began to burst. People had made so
much money that they were complacent.
- The financial crisis of 2008
and 2009. The housing
crisis and mortgage bubble along with bank bailouts and collapses.
People got spooked and didn’t take profits or rebalance their
- The next one?
We don’t know what, when or where.
The market is fragile. We don’t know when the next drop will come,
but we know it will come. You need to have your portfolio balanced
properly and your asset allocation right.
Your Questions Answered
- Is the raise in minimum wage good for the economy?
Overall the raising is helpful to
young people. It could reduce jobs or influence inflation.
Companies must find a balance.
- Is this a good time to buy bonds? You
need to make sure you have enough investments that won’t go down
with the market. Question your asset allocation.
- Is it typical for a financial advisor to talk about
investments, but not other things like social security and
retirement? It is typical, but a
financial planner with a fiduciary responsibility should look at
the whole picture and the timing of it.
Links To Resources Mentioned
Money Map Retirement
Thank you for