Eric modernel

"If you can't stomach a 50% decline, you don't deserve to make superior returns." — Charlie Munger. How often the market actually scares you: • 5% drop: every few months • 10% correction: about once a year • 15% pullback: every two years • 20% bear market: every five to seven years • 30%+ crash: every decade or two • 50%+ crash: once or twice in an investing lifetime Corrections are the toll for being in the market. They show up roughly on the schedule above, and there's no skipping them. Good investors sit through them. They decided to in advance, before the market got scary.