"For years, when someone asked me what my biggest fear was as an
investor in managing my portfolio, my answer was that it was buying
too soon on the way down from often very overvalued levels. I knew a
market collapse was possible. And sometimes, I imagined that I was
back in 1930 after the market had peaked the year before, and then
dropped 30%. Surely, there would've been some tempting bargains then.
And just as surely, you'd have been crushed by the market's
subsequent plunge over the next three years — down to below 20% of
1929 levels. A fall from 70 to 20, and from 100 to 20, would feel
almost exactly the same by the time you hit 20."