Are you wondering when is the next Global Financial crisis? I believe that many of us have the same question in mind as well.
When I ask myself, below are the few possible large market events that comes into my mind:
- World War – (i.e. N.Korea, Syria etc. So far, risks have been rising but the financial impact have not been translated into the market yet as probability of occurrence is not certain)
- Political changes (i.e. New president, elections etc)
- Currency changes (this would be dependent on the country’s policy and generally it is not disclosed, however impact would be limited to the affected country)
- Interest rate changes
For point 1,2 & 3, it can happen out of a sudden where anything can happen (i.e. sudden escalation of war, freak election results, sudden change in policy etc).
This leaves us with point 4 where interest rate change.