GET REA­DY FOR RE­CO­VE­RY

Corriere Italiano - - SPORT -

If his­to­ry is any gui­de, bo­th the eco­no­my and the mar­ke­ts will even­tual­ly re­co­ver – de­spi­te all the ne­ga­ti­ve head­li­nes. As an in­ve­stor, it’s im­por­tant to be pro­per­ly po­si­tio­ned for the re­co­ve­ry well in ad­van­ce. No one can say exac­tly when we’ll see a re­co­ve­ry. What looks li­ke the be­gin­ning of a new long-term bull mar­ket to­day could turn out to be a short-li­ved “bear mar­ket ral­ly” mon­ths from now – or vi­ce ver­sa. The key thing for in­ve­stors to know is that the mar­ke­ts ha­ve al­ways re­co­ve­red stron­gly, even af­ter a ma­jor eco­no­mic cri­sis that, at the ti­me, had ma­ny peo­ple doub­ting they ever would. The­re ha­ve been other do­wn­turns as se­ve­re as the cur­rent one – The Oil Cri­sis (197375), The Ear­ly ’80s Re­ces­sion (1980-82), Black Mon­day (1987) and the Tech­no­lo­gy Bub­ble (2000-2001), to na­me a few. Ea­ch ti­me, af­ter suf­fe­ring a ma­jor set­back, the mar­ke­ts re­co­ve­red and con­ti­nued their long-term up­ward ad­van­ce, ty­pi­cal­ly ma­king up los­ses wi­thin two years. His­to­ry les­sons: The mar­ket al­ways co­mes back

One-year re­turns from end 32.0% 51.8% 18.8% 22.2% The Oil Cri­sis The Ear­ly ’80s Re­ces­sion Black Mon­day

The Tech­no­lo­gy Bub­ble

De­cli­ne -48.2% -27.1% -33.5%

-49.1%

S&P 500 In­dex Bear Mar­ke­ts (RBC As­set Ma­na­ge­ment) This ar­ti­cle is sup­plied by An­ge­lo D’Ami­co, Vi­ce Pre­si­dent, a Port­fo­lio Ma­na­ger wi­th RBC Do­mi­nion Se­cu­ri­ties Inc. Mem­ber CIPF. This ar­ti­cle is for in­for­ma­tion pur­po­ses on­ly. Plea­se con­sult wi­th a pro­fes­sio­nal ad­vi­sor be­fo­re ta­king any ac­tion ba­sed on in­for­ma­tion in this ar­ti­cle. An­ge­lo D’Ami­co can be rea­ched at 514-878-5196.

Two-year re­turns from end 65.6% 50.2% 37.7%

17.7%

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