Last week, I shared a big secret with you…

It was about bear markets.

If you missed it, the Real Talk was this:

Bear markets are the greatest wealth creators.

And if you don’t believe me, just take a look at some of the most legendary investors.

How do you think Shelby Davis, John Templeton and Warren Buffett made their fortunes?

It was because they knew the secret…

Why Hide?

Davis made a $900 million fortune and was on the Forbes 400 list at the time of his death.

He made it using the secret all throughout the bear markets from the 1940s to the 1990s.

And he said: “You make the most of your money in a bear market, you just don’t realize it at the time.”

John Templeton created the Templeton Growth Fund — which averaged over 15% growth per year for 38 years. When he died in 2008, he was worth well over $1 billion.

He used the secret, too. In his words: “The time of maximum pessimism is the best time to buy.”

And Warren Buffett — who just turned 92 — also built his $100 billion net worth through the secret.

During the great financial crisis, he was busy making deals … while most investors were hiding under their desks. In the worst days of the bear market, he was a buyer.

Buffett invested $25.2 billion in several “crisis-era” deals. And years later, by 2015, he made $10 billion on them.

It’s a great example of one of his big mottos for investing: “Be fearful when others are greedy and greedy when others are fearful.”

So, I could never understand why average investors let the fear of bear markets keep them from investing in the greatest wealth creator — the stock market.

Looked at in this context, seems silly, right? 

100% Guaranteed

Legendary investors think totally different. They see down markets as being like manna from heaven.

Because it allows them to buy stocks at bargain prices and ride them higher into all-time highs.

Real Talk: 100% of the time, bear markets give birth to bull markets.

market volatility chart 1994-2021

Bear markets are followed by bull markets 100% of the time.

And if the legends know this and are using this secret … why aren’t you?

It could have the biggest impact on the size of your brokerage account in the next five years.

So, don’t let the market shake you out. But don’t invest willy-nilly in story stocks, either.

The key to maximizing your returns in this bear market boils down to knowing what to invest in now. And I recently shared what that is — the stocks that’ll smoke the indexes.

The key to maximizing your returns in this bear market boils down to knowing what to invest in now. And I recently shared what that is — the stocks that’ll smoke the indexes.

If you haven’t yet, you’ll want to check out the Real Talk presentation I gave. Just click here to watch it and be ready to get your socks knocked off.

Regards,

Charles Mizrahi

Charles Mizrahi

Founder, Real Talk