Why Invest in Stocks and Bonds: Chart

Investing in equities and bonds is one of the best ways to grow wealth. This is especially true when it comes to long-term. Over many years or decades due to the effect of compounding stocks have historically generated the highest returns over bonds and other assets. The following chart shows the growth of $1 from 1926 to 2022. Small caps had a higher return than large caps in this long period. The chart also shows the return on bonds and T-Bills together with inflation.

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Source: New York Life Investments

Related ETFs:

  1. SPDR S&P 500 ETF (SPY)
  2. iShares Core S&P 500 ETF (IVV)
  3. Vanguard S&P 500 ETF (VOO)

Disclosure: No positions

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