October 19, 1987
This week we remember the 508-point, 22.6% stock market crash of October 19, 1987
In the summer of 1987 I had levered up, borrowing to buy a house and also committed to purchase a business. Watching TV that night my thoughts turned to my grandfather who, though an orphan, had worked himself into a position to buy a farm in the late 1920’s. Only to lose it in the Great Depression which was triggered by the stock market crash of October 1929. Obviously, he had borrowed lots of money and when the farm was repossessed his equity was wiped out. My thought that night was: “Are the Miller’s just unlucky?”
My economic situation resolved better than my grandfather’s but I never lost my keen interest in market timing. It is often said “You can’t time the market!” The truth is however that we all make our decisions in real time. Everyone chooses a specific time to make changes in our lives maybe the choice we make is random but clearly some moments are better for these moves than others. This becomes obvious in retrospect and we all need a better strategy for timing. This website and my book “Know the Time, Change Your World” is based around my ideas on time and timing. The events 30 years ago left a mark in my brain and triggered a search for a better strategy. The results, I hope, will be beneficial to many.
This youtube link shows some of CNNs coverage that night 30 years ago