Local fund managers are not pushing the panic button despite plunging world sharemarkets and plummeting oil prices.
The New Zealand sharemarket's S&P NZX50 index has dropped 3.9 per cent from its record high at the end of 2015, but is still a long way from wiping out the 13.2 per cent gain it put on in the final quarter of 2015.
Fund managers said that while world equity and oil market headlines looked scary, it did not feel like the market was on the cusp of another 2008-style global financial crisis.
One said it felt "more like a correction rather than a crash".
"It is certainly very disconcerting and it's understandable that people are starting to get a bit worried, but at this point I would be reluctant to say we are heading for another crisis or global recession," said Mark Lister, head of private wealth research at Craigs Investment Partners.
"Growth is slow, but you've still got positive noises coming out of the major developed economies," he said. "The United States is in better shape and Europe is going well - off a low base - and New Zealand is certainly nowhere near a recessionary risk.
"The dominoes are not in place for another 2008 at this point."
Fund managers and analysts have been saying for the past two or three years that equity markets here and abroad have been looking too expensive.
Fundamentals have been looking shaky for some time in China and in the other emerging markets.
The plunge in oil prices played a big part in undermining investor sentiment, Lister said.
Fund managers said that oil prices would need to stabilise before the equity markets could, and that there were two sides to the oil story.