The S&P 500 has had 11 bear markets since 1950, with the average drop being ~35%, and the average bear market taking ~14 months to hit bottom.
Every drop of 20% or more, on closing prices:
1. 1956-57: -21.5%
2. 1961-62: -28.0%
3. 1966: -22.2%
4. 1968-70: -36.1%
5. 1973-74: -48.2%
6. 1980-82: -27.1%
7. 1987: -33.5%
8. 2000-02: -49.1%
9. 2007-09: -56.8%
10. 2020: -33.9%
11. 2022: -25.4%
2020 was the fastest by far. The index fell 34% in 33 days and was back at a record 5 months later.
1973-74 had the slowest comeback. After the bottom, it took almost 6 years to get back to the old high.
$10K put into the S&P 500 in October 2006 grew to about $80.8K over the next 20 years.
Miss its 10 best days and you'd have $35.9K.
That's with dividends reinvested, from Oct 26, 2006 to present.
→ Stayed invested: $80.8K
→ Missed the 10 best days: $35.9K
→ Missed the 20 best days: $21.2K
→ Missed the 30 best days: $13.9K
→ Missed the 40 best days: $9.5K
There were about 5,000 trading days in that stretch. Sitting out the best 40 of them, less than 1%, left you with less than the $10K you started with.
All 10 of the best days came during the 2008-09 financial crisis, the 2020 Covid crash or the April 2025 tariff selloff.
The biggest was Oct 13, 2008, when the index jumped 11.6%, two trading days after one of its worst drops.