Sunday, August 22, 2010


The performance of this ratio should approximate the returns of an index investor versus holding money in the bank or money market fund. Is there a fifth wave in the works? I've been pulling up this chart every few days for the past month or two. I suppose I ponder too much.

If we do enter another bear market, I doubt it will be fast and furious. It could take two or three years - at least - to hit bottom. Think of a world without panic. All despair, but no panic.