NVQ - S&P 500 Drawdown Profile: March 8 2022

• The US stock market appears to be caught in another one of its extended corrections. Is this the start of a long bear market? Or could this be just another garden variety correction that ends quickly?
• How the future plays out is clear as mud, but for some perspective on managing expectations we can start by reviewing the history of stock market drawdowns.
• Looking at the S&P’s history since 1950 tells us that for the garden variety drawdown (roughly no more than -10%), returning to a previous high is a relatively swift affair – less than 100 trading days for the most part.

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