2020 Market Crash - History Repeats
- Ogechi Aguma
- Mar 14, 2020
- 2 min read
Updated: Sep 15, 2020
These times are shocking. The incredible rally in the Markets, the boom, the rush, the double digit % growth of major companies and then the possible recession springs up out of the blues.
The dismay and dread pushes the panic buttons of retail and major investors to the inevitable sell-off holdings.
Is this a new phenomenon, this seemly 'tragic play'? Has it been watched in black and watch or in recent past? Can any trends be validated, psychological patterns assessed?
How was global investment temperament managed? What are the tell-tale signs of its manifestation?
Stepping out the in-depth scrutiny of the mind, who would have predicted Coronavirus, a cold Black Swan wrecking and crippling global growth?
As possible answers to the questions wave through the mind's spectrum, the fundamental fact remains - to grow sustainable wealth whatever the weather.
Emilie Stevens, Equity Analyst wrote an interesting article on 'Stock Market drops - lessons from history' - from Hargreaves and Lansdown. Her reference to previous crashes was settling and formative at the same time.
Previous crashes
- 1987 Black Monday
- 1999 Dotcom bust
- 2008 Great Financial Crisis
- 2016 Brexit Referendum
Nick Kraakman, from my previous blog - on Value Investing. Podcast on Value Investing Bootcamp. Wisdom derivatives from Warren Buffets principles.
All focusing on one strategy that inevitably works. Not necessarily answering all the questions above but cutting through it to a conclusive solution - Long-term value Investing.
The long-term investing strategy if adopted seems to turn all questions now into pounding squabbles of the mind.
Check out my previous Guide to kick starting your stock investment
“We learn from history that we don't learn from history!”
― Desmond Tutu
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