I’ve seen some commentary recently about how bad the market is, comparing it to the previous worst start to a year, 1933. That sounds ominous since everyone knows that 1933 was in the middle of the Great Depression. Unfortunately for the gloom and doom crowd, 1933 also proved to be the bottom of a bear market and stocks subsequently returned 195% over the next 3 years. History never repeats exactly, but it just goes to show that, even in the depths of the Great Depression, the stock market was still able to pull off a pretty impressive bull market.

We have come through this in better shape than most investors because of our exposure to commodities, but we aren’t immune to stock market declines. We hold larger positions in commodities than most advisors but the majority of our assets are still in stocks. The key though is to get through this bear market without taking a big loss. And so far we’ve been able to do that. Hang in there; if you can get a nearly 200% rise in the market during a depression, surely we can get a rally too.

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