Steve ran across a pretty interesting article the other day that we feel really summed up last year’s S&P 500 performance well. It’s titled “When Underperforming the S&P 500 is a Good Thing” by Jeff Benjamin. I think its fair to say anyone with any money in the market last year would read this title and think, “Who in their right mind would’ve wanted to underperform the S&P last year?”
Well, let’s take a look by CLICKING HERE.
Maybe its just me, but I really like how point-blank Jeff Benjamin is about the S&P 500’s stand out performance versus all other asset classes, equity capitalizations and equity markets. If one statement could paraphrase his entire article, it’d be “Matching the S&P 500 index last year would have involved too much risk.”
To be a seasoned and successful investor long-term, you must diversify your portfolio. It’s a simple truth, but one we all need to be reminded of every so often.
Investing involves risk including loss of principal. Past performance is no guarantee of future results. Indexes cannot be invested into directly. The opinions expressed in this material do not necessarily reflect the views of LPL Financial.