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Article: A bear market is not such a bad thing; call it an opportunity to accumulate some of those great growth businesses at more reasonable prices.
- Article from:
- Investment News
- Article date:
- February 28, 2001
- Author:
CopyrightCOPYRIGHT 2001 Crain Communications, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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It's a bear market.
How can I tell? Because it is so much easier now to get hurt in it than to be helped by it. This is in dramatic contrast to the situation that had prevailed for so many years before this one. For long years, it had seemed easy to do well, absolutely if not relatively, as high tide floated most boats.
But when cash and high-grade bonds are outperforming equities, it seems that everything you do in the equity market, short of getting out, is a mistake. That's an operationally useful definition of a bear market.
I will note, however, that there is no universal agreement on a specific measurable definition for bear markets. It ...