Fear sells.. but optimism creates wealth


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In the psychology of money, the pain from loss is twice as intense as the pleasure from gain.

That’s why "Bear Markets" (Bear Markets) dominate headlines and our emotions, even though historically they are just "red flashes" in a sea of blue growth.

The attached chart is not just a historical narrative, but a "mathematical argument" against excessive pessimism.
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The language of numbers doesn’t lie:
When we put emotion aside and look at data since 1949, we find a remarkable imbalance in favor of the patient investor:

Bull Market (Bull Market):
Lasts on average 5.3 years, with a cumulative growth of +254%.

Bear Market (Bear Market):
A heavy but quick visitor, lasting on average only one year, taking -31% of the value with it.
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Deep Investment Lesson:
Imagine presenting you with a business deal:
"The probability of profit lasts five times longer than the probability of loss, and expected returns exceed losses by eight times."

Would you refuse?
That’s exactly what an investor does when selling at the first red signal.

The greatest danger in markets is not "correction" or temporary downturns, but "interrupting compounding" (Interrupting Compounding).

Red in the image is necessary;
It’s the "winter" that kills weak companies and corrects overvaluations, paving the way for years of the blue "spring" that follows.
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In summary: markets spend much more time building wealth than destroying it.

Don’t let one year of fear deprive you of five years of prosperity.

Is your portfolio designed to withstand the "short winter" to benefit from the long "spring"?

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