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During a period of rapid inflation, what usually holds up well?

Hard assets like precious metals and commodities, as well as inflation-linked bonds

Short-term bonds

Foreign bonds

Hard assets like precious metals and commodities, as well as inflation-linked bonds. Hard assets and inflation-linked bonds provide a bulwark against inflation, while many other asset classes gets ravaged.

How do bear-market funds aim to make money during bear markets?

By shorting assets

By buying stocks that normally do well during bear markets

By investing only in bonds and cash investments

By closing themselves to outside investors

By shorting assets. By shorting assets in certain classes, bear-market funds aim to do well when the market heads south.

In historical terms, bear markets are normally _______ in length.

Brief

Long

Greatly variable

Brief. On average, bull markets have tended to be longer and bear markets shorter.

The investments that perform poorly during bear markets tend to be the same ones every time.

True

False

False. Each bear market attacks in different ways. Certain sectors tend to be hit harder in different ones.

Bond funds often perform well, relatively, during bear markets in stocks.

True

False

True. Though not a given, historically they have held up well.