AFTER THE BULL COMES THE BEAR BUT THERES NO NEED TO BE SCARED

10 Things You Should Know About Bull Markets (But Often Don’t)

1. What the heck is a bull market?

   
   

   It’s when prices climb at least 20% off their recent low. Only after it’s happened can we say, “Yep, that’s a bull.”

   
   

2. Markets ≠ Economy

   
   

   Stocks are the economy’s hype beast—forward-looking, acting on what’s expected next, not what’s in the rearview mirror.

   
   

3. They’re normal

   
   

   There’ve been 27 bull and 27 bear markets since 1928. On average, bull markets last ~2.7 years and gain ~115%—while bears last ~1 year and drop ~35%.

   
   

4. When to say “Hell yeah!”

   
   

   The strongest gains happen early: in 74% of bull runs, the first half crushes the second.

   
   

5. Missing it hurts

   
   

   If you’re pacing the sidelines waiting for the green light, you might miss most of the upside.

   
   

6. Bull starts vary

   
   

   One bull can trumpet for 12+ years, another fades after 25 days. Every bull has its own vibe.

   
   

7. Bulls are getting more awesome

   
   

   Since the ’70s, bull markets are stronger and longer. That said, “past performance ≠ future returns.”

   
   

8. Greed vs. Fear, Round 97

   
   

   As prices climb, FOMO sets in. Missing one bull could mean regrets later. Having a plan > riding the hype.

   
   

9. You’ve gotta be invested

   
   

   The only way to ride the bull is being in the game. Strategic long-term investing beats emotional hunches.

   
   

10. Plan your portfolio for all seasons

    
    

    Age and goals matter—if retirement’s close, you might want less riskier assets. But even retirees need some growth.

Bear Markets 101: What You Really Need to Know (Hartford Funds Breakdown)

1. What Triggers Bear Territory?

When the S&P 500 drops 20% from its most recent high, that’s officially a bear market. A smaller dip (10–19.9%) is just a correction.

2. How Bad Do They Get?

On average, bear markets wipe out about 35% of the index from peak to trough.

In contrast, bull markets usually add a solid ~112% gain.

3. How Long Do They Last?

• Bear markets span around 9.6 months (289 days) on average.

• Bull markets stretch much longer—~2.7 years (988 days).

  
  

4. What’s the Frequency?

• Since 1928: 27 bear markets, 27 bull markets.

• Average spacing: Roughly every 3.5 years.

• Before WWII: Extremely frequent (~every 1.5 years). After WWII: More spaced out (~4.5–5 years).

  
  

5. Are They Normal? Yes.

Markets have historically spent only ~21% of the time in bear territory. So, ~78% of the time, bulls rule.

6. Timing is E-P-I-C Fail

Trying to dodge a bear by timing the market? Bad idea.

• 42% of the market’s best days happen during bear markets.

• Another 36% in the first 2 months of a new bull—before most realize it began.

  
  

  Miss those, and you lose major upsides.

  
  

7. Do Bear Markets = Recessions? Not Always.

Historic data shows 27 bear markets vs. 15 actual recessions since 1928. So, you can have one without the other.

8. Real-World Recovery Timeline

• Average recovery after a bear: ~2.5 years to get back to the previous high.

• Quickest crash+recovery? COVID bear – 33-day drop, 4-month recovery.

• Longest bear? Dot-com bust – over 31 months to recover after a ~49% drop.

9. Long-Term View Wins

Even investing at the worst possible times historically has paid off. Markets recover eventually—and hard.

Just staying invested beats trying to time tops and bottoms.

TL;DR (In emoji speak)

📉 Bear = -20% + short-lived (~9–12 months)

📊 Bulls = +100%+ gains, last longer (~2–3 yrs)

🔁 Bear markets happen ~every 3–5 years—totally normal

📈 Timing misses the best days — stay invested

🏃‍♂️ Recovery varies—from fast COVID bounce to long dot-com slog

⏳ Long-term patience = win

What Should You Do?

1. Stay invested. Missing key rebounds cuts your gains.

2. Expect turbulence. Bear markets are part of the game.

3. Plan for internet-speed downturns + slow recoveries.

4. Know your time horizon. Only invest what you won’t need in 5+ years.

5. Diversify. Combine equities with bonds, cash, and defensive assets.

   
   

📈🐂 Bull vs. 📉🐻 Bear Markets: How to Position Your Portfolio

We’ve broken down what bull and bear markets look like, but the real question is: what should YOU be doing with your portfolio in each?

🐂 In a Bull Market (Optimism & Rising Prices)

✅ Goals: Grow wealth, but prepare for the eventual downturn.

• Stocks (60–80%) → Focus on quality companies with durable competitive advantages (moats), not just hype stocks.

• Bonds (10–20%) → Acts as a cushion if/when markets wobble. Short- to intermediate-term Treasuries usually work best here.

• Cash (5–10%) → Dry powder. Don’t over-hoard, but keep some ready for opportunities.

• Alternative/Defensive Assets (5–10%) → Gold, REITs, or defensive dividend payers can balance risk.

💡 Bull Market Tip: Don’t chase the hype. Use the good times to rebalance and harvest profits from stocks that have run too far. Remember: bull markets don’t last forever.

🐻 In a Bear Market (Fear & Falling Prices)

✅ Goals: Survive volatility and set yourself up for the recovery.

• Stocks (40–60%) → Stick with high-quality, cash-flow-rich businesses. This is when the weak get exposed, and the strong survive.

• Bonds (20–40%) → Longer-duration bonds tend to perform well when rates fall in recessions. They also stabilize the portfolio.

• Cash (10–20%) → Increase cash reserves—this gives you flexibility to buy stocks “on sale.”

• Alternative/Defensive Assets (10–15%) → Dividend aristocrats, utilities, healthcare, or gold for stability.

💡 Bear Market Tip: Don’t panic sell. Remember: the average bear lasts less than a year, and rebounds are FAST. Use cash strategically to add to strong businesses at a discount.

🎯 Bottom Line Strategy

• Bull Market: Ride the wave 🌊 → growth-oriented, but rebalance and take profits.

• Bear Market: Play defense 🛡️ → raise some cash, lean into bonds, and position for recovery.

⚠️ Quick Note: Exact percentages depend on your age, risk tolerance, and time horizon. But the big idea is:

• In bulls → lean into growth but don’t get greedy.

• In bears → lean into defense and prepare for the bounce back.