Paul shares the dire predictions from several gurus and includes a list of reasons a sharp decline could happen. He includes history of corrections and bear markets since 1950. https://awealthofcommonsense.com/2021/02/a-short-history-of-u-s-stock-market-corrections-bear-markets/
Question: Is the 60/40 portolio “in danger?” Paul uses 'Fine Tuning Table 3' to show investors how to figure out the risk of Vanguard Wellington and Vanguard Wellesley Funds, as well as other similarly built funds. https://paulmerriman.com/wp-content/uploads/2021/02/Fine-Tuning-Tables-50-50-2020.pdf
Paul is outraged by what he learned from a recent report by "The Motley Fool" on what Gen Z, Millenials and all investors 18 to 40 years old have made. https://www.ngpf.org/blog/question-of-the-day/question-of-the-day-what-percent-of-18-24-year-olds-own-individual-stocks/ The Motley Fool newsletter is advertising very high returns. Are they real? The best source of real newsletter returns is hulbertratings.com. Paul references the 20 year results: hulbertratings.com/20-yearscoreboard/.
Question: They say small-cap growth is the black hole of investing: high volatility, low reward. Should we keep small-cap blend if the growth companies will continue to pull returns down?
Question: What do I have in my portfolio to protect against a market crash?