Are Bear Markets Disappearing?

Why Past Market Correlations Can Mislead Your Investment Strategy

Author

Alok Jain
May 28, 2025


28 May 2025 · Wednesday

Forwarded this email? Subscribe here for more

Good evening, WeekendInvestor

Today’s Daily Byte

It was a relatively subdued day in the market, with no major movements or breaking news to steer the indices dramatically in either direction. While tomorrow’s expiry might bring in some volatility, as of today, the sentiment remains neutral.

There’s no significant domestic or global catalyst poised to shift the market in a decisive way—unless, of course, something unexpected emerges from the US or geopolitical developments stir investor emotions.

Reading Time : 6 Minutes

Mi EverGreen

This 20 stock portfolio selects large and mid cap stocks from the CNX200 index. It also has a fixed 25% allocation to Gold ETF as a hedge. It is rebalanced monthly.

Mi 35

This 35 stock - weekly rebalanced - rotational momentum portfolio is made up of the strongest stocks from the Smallcap 250 universe.

Are Bear Markets Disappearing? A Look at Changing Market Cycles

An intriguing data point reveals how the stock market has evolved over the decades. This information, sourced from Funds India Research, illustrates the amount of time the market has spent in bear phases across different decades. A bear market is defined as a decline of 20% or more from its peak.

Reading Time : 3 Minutes

The Momentum Podcast

This episode of THE MOMENTUM PODCAST features Manubhav, a third-generation real estate professional, sharing his unique journey navigating both worlds.

Discover:

✅ FROM PROPERTY TO PORTFOLIO: Manubhav's transition from his family's established real estate business to exploring equity investments.


✅ MARKET WISDOM: His candid experiences with market swings, including COVID-19's impact on his SIPs, and lessons learned from F&O and smallcase.


✅ THE BIG COMPARISON: A fascinating look at real estate vs. equity returns, featuring real-world numbers from his family's 40-year property investment.


✅ UNCOMMON INSIGHTS: Why gold is a family favorite and the surprising state of equity investing in smaller Indian towns.

Why Past Market Correlations Can Mislead Your Investment Strategy

An interesting trend has emerged from a long-term comparison of two major stock markets: India and Hong Kong. When we analyze the Nifty and the Hong Kong Index in US dollar terms over the past 18 years, we discover something surprising. From 2005 to 2020, both markets demonstrated a high correlation, meaning that when one market moved up or down, the other often followed suit. This similarity was so striking that it resembled a near-perfect match.

Reading Time : 3 Minutes

Portfolio Momentum Report

Your deep dive into two critical metrics to assess your portfolio’s potential:

1️⃣ Momentum Score: See what percentage of your portfolio is in high vs. low momentum stocks, giving you a snapshot of its performance and health

2️⃣ Weightage Skew: Discover if certain stocks are dominating your portfolio, affecting its performance and risk balance.

💡 Why it matters:

Weak momentum stocks can limit your gains, while high momentum stocks improve capital allocation, enhancing your chances of superior performance.

🎥 Watch this video to learn more : 

Get your Portfolio Momentum Report today and ensure your investments are positioned for success!

Gold headed to $6k ?


 

A Quick Guide to the Information Ratio

Follow for Daily Market Updates and Insights

Share this daily insightful newsletter with your market savvy friends and family or sign them up for the newsletter !

For detailed blogs, reports and strategies, check WeekendInvesting.com

Disclaimers and disclosures : https://tinyurl.com/2763eyaz

Disclaimer : This newsletter is for informational and educational purposes only and does not constitute financial advice or an advertisement

Reply

or to participate.