Hello "of course",

I think the crash in 2008 was expected, it could have happen in 2007 or 2008 or 2009, but you knew it was coming when the stock markets and property markets peaked in 2007. You may not know exactly when the crash will happen but it was expected.

Most people are generally to "fearful" to miss the boat and therefore they either jump in too late into the rally or stay invested into the rally. Few people (I know a few) totally divested out completely and held cash only. For me, I did not cash out completely but still most of it.

Again, asset allocation is very important. No point spending all the time analysing individual stocks etc, if you put in all your money into the stock market, even the best companies will have its market value cut by 30-50%. Only cash/deposits would have kept its value.


James