[mcjon77]

Definitely agree. IIRC, the biggest yearly loss for the Dow was 52% in 1931. While I would HATE to lose 50% of my wealth, the point is that with $50m I can EASILY ride that loss out and give it time to recover in a few years. Now, if I only had $50k in the market and was planning on using all of it on a big purchase that particular year (e.g. home down payment, child's college tuition), a 50% loss could be devastating.

Volatility doesn't seem to have as much power when the potential losses are not great enough to cripple you.