Anatomy of the Bear

Jacket text for Anatomy of the Bear

How does one spot the bottom of a bear market? What brings a bear to its end?

There are few more important questions to be answered in modern finance. Financial market history is a guide to understanding the future. Looking at the four occasions when US equities were particularly cheap - 1921, 1932, 1949 and 1982 - Russell Napier sets out to answer these questions by analysing every article in the "Wall Street Journal" from either side of the market bottom.

In the 70,000 articles he examines, one begins to understand the features which indicate that a great buying opportunity is emerging.

By looking at how markets really did work in these bear-market bottoms, rather than theorising how they should work, Napier offers investors a financial field guide to making the best financial provisions for the future.

This new edition includes an updated prologue from the author.

Chapter headings for Anatomy of the Bear

Acknowledgements
Foreword: Marc Faber
Introduction

Part I August 1921

The road to August 1921
The course of the Dow - 1896-1921
Living with the Fed - A whole new ball game (I)
Structure of the market in 1921
The stock market in 1921
The bond market in 1921
At the bottom with the bear - Summer 1921
Good news and the bear
Price stability & the bear
Liquidity and the bear
The bulls and the bear
Bonds and the bear

Part II July 1932

The road to July 1932
The course of the Dow - 1921-29
Living with the Fed - A whole new ball game (II)
The course of the Dow - 1929-32
Structure of the market in 1932
The stock market in 1932
The bond market in 1932
At the bottom with the bear - Summer 1932
Good news and the bear
Price stability and the bear
Liquidity and the bear
The bulls and the bear
Bonds and the bear
Roosevelt and the bear

Part III June 1949

The road to June 1949
The course of the Dow - 1932-37
The course of the Dow - 1937-42
The course of the Dow - 1942-46
The course of the Dow - 1946-49
Structure of the market in 1949
The stock market in 1949
The bond market in 1949
At the bottom with the bear - Summer 1949
Good news and the bear
Price stability and the bear
Liquidity and the bear
The bulls and the bear
Bonds and the bear

Part IV August 1982
The road to August 1982
The course of the Dow - 1949-68
The course of the Dow - 1968-82
Structure of the market in 1982
The stock market in 1982
The bond market in 1982
At the bottom with the bear - Summer 1982
Good news and the bear
Price stability and the bear
Liquidity and the bear
The bulls and the bears
Bonds and the bear

Conclusions
- Strategic
- Tactical
- Then and now

Epilogue: Russell Napier, 2007

Bibliography

Table of figures

About Russell Napier

Russell Napier is a consultant with CLSA writing on issues affecting global equity markets. After studying law, he began his investment career at Baillie Gifford in Edinburgh managing funds in the Japanese, then the US and finally the Asian markets. Moving to London he was responsible for managing Asian portfolios. In 1995 he relocated to Hong Kong to become the Asian strategist for CLSA. He occupied that position full time until 1999 during which he was ranked number one for Asian strategy in all major industry polls. Since 1999, apart from fulfilling a consultancy roll for CLSA, Russell has created and established a new course called A Practical History of the Financial Markets which is taught through Edinburgh Business School.

More about Russell Napier

Reviews for Anatomy of the Bear

"a must-read for anyone with even a passing interest in the great sweep of financial history"
- Tom Stevenson, The Daily Telegraph

"an outstanding 'must-read' for any student of financial markets"
- Marc Faber, author of Tomorrow's Gold

"this is an outstandingly researched and lucidly written book, and with conclusions that are as important as they are compelling."
- Bill Jamieson, The Scotsman

"[amongst] the finest minds in Asian finance"
- AsiaMoney

"The best investment-related read of the year [2006]."
- Bob Yerbury, CIO & CEO of Invesco Perpetual

"[one of the] year's best investment books"
- 2008 Stock Trader's Almanac

"Keep this book in mind, for one day it will help you make a lot of money! Russell Napier has written a serious book for serious, patient investors."
- Hugh Sloane, Sloane Robinson LLP

"Napier's cogent, lucid explanation of the similarities and differences between historic financial declines makes this book an essential addition to the education of serious equity investors."
- Bill Strong, Equinox Partners and Kuroto Fund

"If you want to make serious money you need to invest when others will not. Russell Napier has done all investors a service by providing a comprehensive examination of exactly these periods."
- Sandy Nairn, Edinburgh Partners

"offers essential advice on how investors can determine what's really going on. Russell Napier's book is an excellent guide"
- Financial Sense (Yiannis G. Mostrous)

"an incredible resource for anyone wanting to learn from lessons of the past"
- Jeff White, President, The Stock Bandit

"An accessible yet thorough examination of bear markets for the investor or trader which provides valuable information on the history of market bottoms."
- Geoffrey H. Gannon / Steven Rosales, Value Blog Review