Corrections and Downturns

I need help with question I have been thinking about, what is the best gauge to put a % on the scale of overall market suppression in a downturn?

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Hi Bow,

Are you looking for the overall drawdown in the market in a downturn.

See the attached link which I like to use. It is a JP Morgan article.

I have also snipped a few graphs to show the largest downturns and also the intro year drawdowns in the markets. Generally markets have a big dip even in positive years.

Hope this helps.

Brilliant, thanks. I want this info to help with a strategy for recovering quicker in the event of a downturn. Its certain there will be several downturns over the course of a long term portfolio. I want to keep 10% in cash and put half in at a 5% downturn and the other half at a 10% downturn.