SKF - My Biggest Lessons In 27 Years And 3 Major Bear Markets

• When a bear market is beginning, the most important thing to do is sell overvalued stocks and raise a 50-60% cash position or more.
• No amount of rotating or hedging will be enough to protect your portfolio if a real bear market emerges.
• Small cyclical corrections are not what I am talking about, I'm talking about gut-wrenching 40-60% drops in equity prices.
• Changes in liquidity have accompanied all three of the bear markets I've seen, with the Federal Reserve behind two drops in liquidity and a global pandemic the other.
• This bear market has both the Fed tightening and at least the remnants of a global pandemic with an outside chance of a resurgence.

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