The key characteristic of a secular bull market is rising P/E (price/earnings ratio) multiples, whereas multiples fall in secular bear markets. Furthermore, total wealth in society tends to rise significantly in secular bull markets, whereas it stagnates or even declines in secular bear markets. Over the years, there have been many more bull (and bear) markets than secular bull (and bear) markets, and the reason is simple. A bear market is established when the equity market is down at least 20% from its previous high, whereas secular bear markets are much longer term in nature. It is not
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