alt Hacker NewsEven if there was a 29 style crash, assuming you can hold for 20 or so years, less than the length of most home mortgages, you would still come out ahead. Not that it wouldn’t be painful for seniors and those who are middle age and not well diversified, but it’s hard to not see a US crash as a buying opportunity for international capital.
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It went down 89% Between 1929 And 1932, it took 25 years to close above 400 again. https://denisgobo.blogspot.com/2008/12/how-long-did-it-take-... Of course with Dollar-Cost Averaging you will be buying at the low until as well
A 29 style crash would be accompanied by a 29 crash in other countries. Besides most countries (besides Argentine) suffered, some more some less. The US market wouldn't necessarily be a bigger bargain than others.
A 1929-style crash was accompanied by mass unemployment (~25%), meaning people were often forced to sell at the bottom precisely because they had no income. You can't "hold" if you're selling assets to eat. Also just because it recovered in the past doesn't mean it'll follow the same trajectory in the future.
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Most people who have significant savings in the stock market don't have the lifespan to ride out a 25 year recovery cycle. And those young enough to have the time usually don't have much in savings yet.