Market downturns are an inherent feature of equity investing. Historical data from major corrections—such as the 37% decline in the S&P 500 during 2008 or the 34% drop in early 2020—demonstrate that concentrated exposure to growth-oriented assets can lead to significant portfolio erosion. As of October 2025, with the S&P 500 near all-time highs amid elevated valuations, persistent inflation at 2.4%, and renewed tariff-related uncertainties, incorporating defensive and non-correlated assets remains a prudent strategy.