Vanguard Investments table a really useful, very volatile Australian stock index since June 1978. In the table, stressing 7 significant market share decline by more than 10% during this period. In addition, the table shows the length of the track, and the time needed for recovery from its decline. -- Click here to view a map - Australian shares market volatility

The average decline was 21.2% with an average reduction of 8.6 months. The most positive map shows that the average recovery period of 15.3 months. Other statistics are not included in the card, but it was widely reported in rebound average, down from the market within 12 months amounted to 34% in Australia. See Vanguard Robin Bowerman in blog comment - A look back.

So where is the current Australian market?

The last low was reached on 5 August with the ASX200 falling on 4758.5. Assessment can be from 1 November when ASX200 reached 6851.5. It is autumn 30.55% compared to the period of slightly more than 9 months. Compared with the results of the last 30 years, this decline is one of the worst (or was one of the hardest for the glass half full) - 3 worst in the last 8th


What ideas can we draw from this data?

If you do not believe in market timing, and then the data clearly shows the risk from the market after a sharp market decline. Especially now, after the market by more than 30%. He can go further. The value of 43.5% decline. But the 12 - month recovery, based on average exceed a new recession.

For those who have very long-term investments, a chart shows that the market share has always been the revitalization and growth over time and overcome market downturn, the inevitable.