I know right? Blowing off COVID is the definition of recency bias. People thought the world was ending. The only reason folks are so cavalier about it and say "it doesn't count" is because they know how it turned out.This is revisionist history of the 'We had to walk to school 3 miles in the snow to get to school, uphill both ways' variety.
There are ad nauseum posts on this forum about how the Covid crash just doesn't count as a true downturn or test of ones risk tolerance. How does the 35% market crash during 2020 not count as a true test of one's risk tolerance, but a 22% drop that recovered nearly 60% in two days is certainly a true litmus test of risk tolerance. Sure doesn't add up.
This argument is used over and over against the 100% stock crowd on this forum.
To the OP, referencing the 90s was still the early days of mass, retail investing. Frankly it would be weird if we had not learned anything since then. To answer your question I like to think that the life-cycle model has penetrated the recommendation sphere. You see it in some ways, the rise of Target Date Funds for instance. 40% bonds is frankly inappropriate for any but the most risk averse 20-somethings
Statistics: Posted by ScubaHogg — Tue Jan 21, 2025 7:46 pm — Replies 17 — Views 1195