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As per the above table, Nifty dropped by 60% from its peak on 8th January 2008. An investor who entered the market during the lowest point in October 2008 made a whopping return of 92% in just one year. Likewise, all market corrections provide an opportunity to enter the markets at low levels, and when the markets recover, these investors were the happiest ones! 

If you see the growth in Nifty after every correction, you will understand markets not only recovered but delivered a CAGR between 14-28% over the next 3 years. 

I can understand you are thinking that I have mentioned the upside in the numbers from when the markets were at their bottom most, but imagine, even if you invested a little here and there, you would still be in a massive positive. 

But the story doesn't end here. Now you may ask that, ‘All this is okay. But what if we are heading towards the next crisis?' 

In fact not just markets, but even quality stocks that faced the heat of negative sentiments in the stock market were the first one to recover when markets started showing signs of revival. 

Let's take an example of Tata Elxsi. The stock fell down by 52% in Nov 2016. Many investors took this opportunity to accumulate this stock owing to its fundamental strength. Come now, the stock is now trading at INR 1,000, which is a gain of 87% in just two years after the fall. Even though the prices may fall, if the fundamentals are intact, there is no reason to worry about the value the stock can deliver for you in a long run. 

But, let me share with you the flip side of the same as well. 

As you saw in the above table, these stocks corrected sharply but unfortunately failed to create recover. Suzlon, JP associates or DLF were actually the blue-eyed stocks of their time. However, when their fundamental strengths were tested, even though there were eye candies of many investors, they never bounced back. 

For a successful investor, he would not just invest or hold on to just about any stock that has fallen, but, he would look to latch on to fundamentally strong business that are showing strong growth prospects.

Having said all this, let me ask you a simple question. What's the most common way to create wealth in the stock market? You may think that it is buying low and selling high, and yes you are absolutely right. Market corrections provide you an opportunity to buy quality businesses at low levels. And as a smart investor, you should leverage on to this opportunity of a lifetime to accumulate stocks at a better valuation.

In march 2020 market fall 55% from its peak of 12389 on 16 january 2020 to 7600 on 23rd march 2020, to make the most of such   an  opportunity, you need the handholding of a well-qualified financial advisor. CONTACT IF YOU WANT TO GRAB THIS OPPORTUNITY!