Surviving Drawdowns
The skills to endure the inevitable bad stretches without abandoning your plan.
Lessons
- Drawdowns Are the Price of AdmissionEvery strategy that ever worked had ugly stretches. Expecting them is half the battle.
- Felt Risk vs Actual RiskMarkets feel riskiest at the bottom, when they are often safest. Decoupling feeling from fact.
- The Cost of Missing the Best DaysThe biggest up days cluster near the worst ones. Why fleeing a crash quietly wrecks returns.
- Buying When It HurtsRebalancing forces you to buy what everyone is dumping — the discipline that pays off most.
- The Long-Term Recovery MindsetMarkets have recovered from every crash in history so far. Holding that perspective when it counts.