Read this quote in an article. To tell the truth it makes me feel like now is the time for dampening down risk. The question is what are the best vehicles for accomplishing that while realizing returns better than short term bonds and cash. Are you positioning your portfolio for a significant correction, and if so what investments are you using?
"US equities have risen each year since 2009. Since 1871 US equities have never risen for seven consecutive years. Are you betting that 2015 will break the record? Even though there are secular bull and bear markets that can last 20-30 years, there are dramatic cyclical market downturns that occur about twice a decade which can have severe negative impacts on one's cumulative investment return. It took 30 months for the S&P 500 to fall 49% between March 2000 and October 2002, and about seven years to recover (total return). It took 17 months for the S&P 500 to fall 57% in the 2007-2008 financial crisis and 5.4 years to recover (total return). More significantly, this last recovery has been fueled by central banks flooding markets with liquidity and forcing money out of savings and into risk assets to find a return.
Comments
Records are made to be broken, but to answer your question.....NO