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The Astonishing Bull Market Will End One Day. Are You Ready?

November 08, 2025 ,

We’re living in a time of extraordinary gains in the equity markets, but history (and many market strategists) remind us: bull markets don’t run forever. It’s not a question of if, but when.

  • A “bull market” is generally defined as a sustained rise in stock prices—e.g., 20%+ above a recent low, often with rising investor optimism and economic growth. TD Canada Trust+1

  • One recent strategist at Bank of America warned that the current bull run may be “in a late secular phase” and likely ends in a bubble or recession. markets.businessinsider.com

  • At the same time, others (including JPMorgan Chase & Co.) continue to argument that the bull market is intact, suggesting strong corporate earnings and economic resilience. Business Insider

  • Yet even if the bull market continues, many advisors warn that volatility, corrections, and eventual transition to a downturn must be expected. Investopedia+1

So yes — the bull market may persist for a while, but prudent investors would do well to ask: are you ready when it ends?

What a Market End Looks Like

Here are some signals, indicators and patterns to watch that often accompany the transition from a bull market toward a topping phase or downturn:

  • Valuations get stretched: Price/earnings ratios become high relative to historical norms. Bankrate+1

  • Investor sentiment becomes euphoric: Many investors take big risks, fear of missing out (FOMO) becomes intense. That tends to happen toward the tail end. MarketWatch

  • Economic or policy stress: e.g., inflation rising, interest rates increasing, leading to weaker corporate earnings growth. markets.businessinsider.com

  • Market corrections: Even during long bull runs you’ll see 10-20% drops (corrections) that can serve as warning signs. TD Canada Trust+1

  • The worst transitions often come when rising markets become detached from fundamentals (earnings, growth) and more driven by speculation. TD Canada Trust

Why You Should Care — What It Means for You

It’s easy to get complacent during a strong bull market — everything seems to go up, investing looks “easy,” and it’s tempting to assume the good times will last. But the risk is real. Some key implications:

  • If you’re near retirement or need to access funds in the next 3-5 years, a market decline could hit you harder (less time to recover).

  • If your portfolio is heavily oriented toward equities and growth assets without hedging, you may be exposed.

  • Having a plan for the “end of the party” helps you avoid getting caught off guard, reduces emotional decision-making, and preserves financial security.

  • Turning a strong bull market into long-term gains depends less on timing the end and more on being prepared for it — so you can act, or not act, logically when conditions change.

How to Prepare — Practical Steps

Here are some actionable steps you can take now to be better positioned when the bull market ends or when volatility spikes:

  1. Review your time horizon & liquidity needs. If you’ll need money soon (for retirement, home purchase, etc.), consider reducing risk.

  2. Ensure diversification. As noted by multiple sources, during a bull market, diversification is still key. Being over-concentrated in one sector or style can backfire when the market turns. Thrivent+1

  3. Have an exit or risk-management strategy. This doesn’t mean “sell everything now,” but having thresholds (e.g., „if equities drop X%” or “if valuations reach Y”) can help. Kriptomat

  4. Rebalance periodically. When the bull market has created winners, your portfolio may be overweight certain assets; rebalancing helps maintain your risk-profile. Barron's

  5. Quality matters. In the late phase of a bull market, more speculative and weaker firms are more vulnerable. Focusing on companies with strong fundamentals can help cushion the fall.

  6. Stay calm and focused on long term. Trying to time the exact top is extremely difficult; many experts caution against it. Bankrate

  7. Consider hedges or safe assets. Depending on your risk profile, holding a portion in bonds, cash, or other non-equity assets may reduce exposure.

What This Means for the Current Market

  • The signal from Bank of America: equities are in a late phase and may end in bubble + recession. markets.businessinsider.com

  • From Paul Tudor Jones: he sees a possible “blow-off top” ahead — meaning one last strong rally before the end. MarketWatch

  • From JPMorgan: although bullish, they emphasize “buy the dip” and acknowledge volatility will remain. Business Insider

  • So you have mixed but caution-inclined signals: the bull market could still run, but the risk of ending is elevated.

Final Thoughts

The current bull market may continue much longer than some expect—but even more reason to be prepared. The sequence often is: bull → peak → correction → possible bear. If you ignore the possibility of the “peak” or “turn,” you risk being under-prepared for the downside.

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