Hey Mom, Who’s Your Favorite?

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Returns for a globally diversified strategy over the last 10 years refute the notion of a “lost decade”.

The market is back on the fundamental track for now and many investors are kicking themselves for missing last month’s gain of 3.4% on the S&P 500. The market may be off to a comparatively slow start after last year’s 22% return but investors need to exhibit patience and discipline. Double-digit returns are not the norm although the S&P 500 has had a pretty good run and as of 4/30/2018 it posted a 15-year annualized return of 9.5%. While the S&P 500 has been a portfolio favorite since the recession, compare its returns to the 15-year annualized returns of Midcaps, up 11.7%, Small Caps up 12.3%, Global REITS up 10.1% and Emerging Markets up 12.6%. Each asset class is special in its own way in terms of risk, return and contribution to diversification. Don’t pick a favorite, love them all. Wishing all of our special, wonderful, loving Moms a very Happy Mother’s Day this weekend. Please see the long-term annualized returns across asset classes on page 4 of the Global Perspectives Book.

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