Posts filed under “Investing”

Annualized 5 year return by asset class

Jim Picerno over at Capital Spectator musters up a fascinating chart:

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Annualized 5 year return by asset class
5yr_returns_1

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Jim notes:

"What jumps out at us is the performance dispersion, which is to say
the robust variety of returns–ranging from more than 20% a year for
REITs down to just over 1% a year for the S&P 500, a.k.a. large cap
domestic stocks. The point being that there’s been no shortage of
opportunity and pitfall in the global capital markets in the last five
years. There never is. The winners and losers keep changing, but you
can always count on a broad assortment of returns over time for the
major asset classes. The not-so-subtle implication: asset allocation
still matters, and more than a little.

The mother of all strategic issues in money management all too often
becomes subsumed in the chase for the next hot stock. But anyone
interested in investment success as a durable notion beyond the end of
the month should ignore the widespread obsession with short-term
tactical."

Remind me again about stocks for the long run . . . ?

Category: Investing

New Column: CULT OF THE BEAR, part II

Category: Investing, Markets, Technical Analysis

The Billionaire Pessimists Club

Category: Investing, Psychology

New Column: CULT OF THE BEAR

Category: Investing, Markets

Margin Debt Hits 5-Year High

Category: Investing, Markets, Psychology

P/E Expansion and Contraction

Category: Investing, Markets, Psychology

Window Dressing

Category: Investing, Trading

What are the odds of 2006 being a positive year?

Category: Investing, Markets

Be Careful with the Contrary Indicators

Category: Investing, Markets, Psychology

Chart of the Week: How Bullish Are Wall Street Strategists?

Category: Investing, Psychology