Diversification is the simplest and easiest way to reduce risk. In addition to those benefits, diversification can also boost returns. The following chart demonstrates that equity returns vary from year to year and that the US was not the best performer in any of the years from 2000 thru 2019 and was in the bottom …
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The Callan Periodic Table of Investment Returns is an excellent tool to understand the importance of diversification. Recently I found the following animated video that shows all the benefits of this chart. Source: Callan LLC Earlier: The Callan Periodic Table of Investment Returns From 2000 to 2019: Chart The Callan Periodic Table of U.S. …
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The average holding period for stocks continues to decline globally. In the US it is getting especially worse with the introduction of commission-free trades by brokerages last year and millennials’ propensity to trade often with apps like Robinhood and others. According to a report by Ted Maloney and Robert Almeida, Jr at MFS, the average holding period …
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The Top 10 countries with the highest tobacco usage is shown in the graphic below. In Europe, the heaviest smokers are Serbia, Bosnia-Herzegovina, Bulgaria and Greece. Over 45% of the people in Burma(Myanmar) smoke making it the top country in Tobacco use in the world. Burma is followed by Chile and Lebanon. Indonesia, with a …
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Equities tend to go higher in the long run. In the really long run measured in decades stocks definitely yield a positive return. US stocks have had a positive years 71% versus negative years in 29% of the time from 1825 through 2019. The annual returns shown in the below pyramid are total returns which …
Continue reading ‘Pyramid Distribution of US Equity Returns 1825 To 2019: Chart’ »