Robert Kiyosaki, author of the popular book Rich Dad, Poor Dad, has predicted a “giant stock market crash” in October:
This is the eighth stock market crash that Kiyosaki has predicted in about the last 10 years. Unfortunately, for him anyways, none of the previous seven predictions have been particularly accurate:
Harry Dent is another “guru” who has written numerous books predicting cataclysmic stock market busts and depression since the 1990s.
There are literally hundreds of other “guru’s” who have also made incorrect predictions about market corrections. The sad thing is that there are people who believe them and make changes to their portfolio accordingly. For the most part, these people are poorer today as a result.
Keep in mind that the odd prediction will turn out to be true. After all, if you make 100 predictions chances are a few of them will work out okay but you have much better odds going to a casino to make money.
Corrections are 100% normal. Since May 2009 there have been 29 corrections of 5% or more with the S&P 500. Investors should expect corrections will occur three or four times every year.
Thank you for reading and I wish to everyone the best the upcoming Thanksgiving season