Share market turbulence has dominated media headlines in recent weeks.
Many investors are wondering: When will things return to normal?
The answer is, this is normal for share markets. This is what markets do – though sometimes with more gusto than others. While we shouldn’t be surprised by these market fluctuations, it is natural to feel uncomfortable when the market dips.
Somehow we forget that we’ve had these same bumpy rides in the past. Many of us, looking back at our healthy long-run performance averaging say 7% or 8% a year, we can be lured into believing that the past was a smoother ride.
But was it as smooth as it seems?