Most investors think that we are in the late stages of the current market cycle and the bull market in stocks and credit does not have too much room to go. So, one would expect that investors start reducing their risky assets and increase the liquidity in their portfolios. After all, that would not only protect them from the possible drawdowns in a bear market but give them ammunition to pick up distressed securities at a bargain price once the market is in full panic mode.
Contrarian investing is hard
Contrarian investing is hard
Contrarian investing is hard
Most investors think that we are in the late stages of the current market cycle and the bull market in stocks and credit does not have too much room to go. So, one would expect that investors start reducing their risky assets and increase the liquidity in their portfolios. After all, that would not only protect them from the possible drawdowns in a bear market but give them ammunition to pick up distressed securities at a bargain price once the market is in full panic mode.