What four words could do the most damage to your exchange traded fund (ETF) portfolio?
“This time it’s different.”
Jonathan Burton for MarketWatch notes that fortunes have been made and lost on that one little phrase. Remember the tech-stock bubble of the late 1990s? How many times did you hear investors say that? Plenty, most likely.
It’s important to remember that all throughout market history, there have been bubbles and cycles that have burst and turned. But there is no such thing as a “new era.” Cycles have always, and will always, continue to exist for a time before they end and a new cycle begins.