Why Most Investors Are Unprepared for a True Market Crash and What They Can Do A true market crash is often misunderstood by investors as minor corrections or even healthy market fluctuations.
In reality, it's a full blown crisis that can wipe out decades' worth of savings in weeks or days.
A correction, on the other hand, is a short term downturn that corrects overbought conditions in the market and can be an opportunity for long term investors to buy quality assets at discounted prices.