The Next Big Crash - Are You Prepared?

[specuvestor]

We talk a lot about margin of safety in this forum. So is 10 or 20% decline good enough margin of safety?

Still have to look at individual stocks. Using a simple metric, many were trading at PE >20, which to me, was easily 10-20% over-valued, especially more so if they were non-growth stocks. So, a 10-20% decline is still not enough... For others, they were just fully or slightly over-valued, so, eyeing those, if they do drop 10-20%...

Agree and this is where our knowledge and EARLY research of the company gives us the comfort and courage

Nonetheless my observation through many cycles is that peopletend to be greedy too early and fearful too late