In this Australian Investors Podcast episode, Mitchell Sneddon sits down with veteran investor John Abernethy to unpack what market crashes really teach you when you have lived through several of them. Rather than chasing clever forecasts, John explains why liquidity, incentives and investor behaviour usually matter far more when markets get ugly.
John reflects on the 1987 crash, the dot-com unwind, the GFC and COVID, sharing how he thought about protecting capital, raising cash early when risks were building, and moving when panic created better prices in listed debt, hybrids and quality businesses. It is a grounded look at how experienced investors respond when fear takes over and headlines get louder than fundamentals.
The conversation also traces John’s path from banking and NRMA to helping back online broking in Australia, with practical lessons on credit, balance sheets and why understanding incentives still gives investors an edge. He also returns to a simple idea that feels especially timely in today’s market: read widely, think independently and do not let euphoria do your thinking for you. Buffett’s letters, common sense and patience still matter.
If you want a clearer framework for market crashes, bubbles and long-term investing, this episode is a sharp reminder that the best lessons are usually the ones investors keep forgetting.
