Explain how this is possible and create an example

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Question: Your retirement savings is invested in the stock market, and during the current market downturn, the value of your account has fallen 20%. Your advisor informs you that if you don't add any money or make any changes, then it will take more than 20% recovery just to bring your account back to even. Explain how this is possible and create an example to illustrate your explanation.

Reference no: EM133368801

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