Difference between a Correction and a Bear Market



Is it a correction or a bear market? What’s the difference, and why does it matter? While there are technical distinctions about the magnitude of market decline that defines each, most importantly: One tends to be short, sharp and caused purely by sentiment, while the other is caused by fundamental negatives and followed much more frequently by an economic downturn. Ken also explains why a long-term focus is so important for most investors.