The market will fall; here’s why that shouldn’t scare you

[SINGAPORE] Here’s what few would tell you about market declines: They’re not the exception; they’re the rule. When we look at Singapore’s Straits Times Index (STI), history gives us a sobering reality check.

For the 32 years between 1993 and 2024, the market experienced a peak-to-trough decline of 10 per cent or more in all but six of those years. Put another way, about eight out of every 10 years had a market correction.

Downturns of over 20 per cent are less frequent but still fairly common, happening in roughly one out of every three years. The accompanying chart provides a summary.