The Financial Black Swan: Understanding and Protecting Against Rare and Devastating Market Events

In the world of finance, there is always the potential for unexpected events to occur, known as “black swans.” These events can have significant impacts on the markets and can leave investors vulnerable. It was Nassim Nicholas Taleb who first introduced the concept of the black swan, and in this article, we will explore how these events can affect the markets, provide examples of real-life black swans, and discuss ways to protect yourself against them.