Those who buy stocks the day the S&P 500 enters a bear market have made an average of 22.7% in 12 months- Mark Hulbert

Good news, investors: Wall Street is holding a sale, offering stocks at 20% off!

You’re not interested? That just means you only talk the talk about being a contrarian investor, but don’t walk the walk. Now’s your chance to buy when the blood is running in the streets, as that famous contrarian Nathan Rothschild once said.

If you were eager to buy stocks at the beginning of the year, when the S&P 500 SPX, -0.38% was 20% higher, why aren’t you even more eager now?

To help you live up to your contrarian bona fides, I analyzed how you would have done if, in every bear market since World War II, you bought stocks on the day the S&P 500 closes below the 20% loss threshold. Sometimes that day came near the end of the bear market, and in other cases the market continued falling before eventually turning up. But on average you would have done very well.

And you wouldn’t have had to wait that long to do so. Over the 12 months following your buys, your average total return would have been 22.7%. That’s more than double the stock market’s long-term average, as you can see from this chart.

Full story here- https://www.marketwatch.com/story/those-who-buy-stocks-the-day-after-the-s-p-500-enters-a-bear-market-have-made-an-average-of-22-7-in-12-months-11655224023?mod=home-page