This paper examines whether investors are able to avoid losses even make profits during the recent bear stock market
before 2008, since the authors argue that taking the past experience is likely to avoid losses in the present even future.
By employing the mutual funds over the period 2002-2004 set as the bear market according to the wisdom of Dow
Theory. This study uncovers that the bond funds exhibit superior performance after taking investors’ behaviors into
account seldom revealed in relevant studies.
Investment Management and Financial Innovations 11(1) , p.34-43.