Straits times index historical tidbit
According to Motley fool article, the Straits times index’s ” best day ever in those 22 years(1992-2014) happened on 8 February 1995 when it rose an astonishing 36.95% according to S&P Capital IQ. What about the worst day for the index? That’s 9 February 1995 when it collapsed by 28.14%. ”
It happens that such immense volatility happened in the month which saw Barings bank collapse due to a trader’s gambling gone awry. In the end, the year 1995 saw STI post a 2.7% loss. For long term investors, 9 February was certainly a day to buy stocks provided you have spare cash.
You won’t know when these type of events will occur, but be prepared psychologically and financially is worth it.