FYI: If we asked you where you would have earned 16% annualized returns over the past 10 years, you’d probably say technology. And you’d be correct. But that’s not the only area of the market that has delivered such outsize returns.
The S&P Aerospace & Defense index has returned 359%, including reinvested dividends, during the past 10 years, or 16.4% annualized, narrowly edging out the S&P 500 Information Technology Sector index’s 355% return—or 16.3% annualized—during the same period. The S&P 500 has returned a “paltry” 190%, or 11.2%, during the same period. Defense stocks aren’t tech, but they might as well be, if their returns are anything to go by.
Regards,
Ted
https://www.barrons.com/articles/defense-stocks-surge-but-tide-is-turning-1537579751M* Snapshot FSDAX:
https://www.morningstar.com/funds/xnas/fsdax/quote.htmlM* Snapshot ITA:
https://www.morningstar.com/etfs/bats/ita/quote.htmlM* Snapshot XAR:
https://www.morningstar.com/etfs/ARCX/XAR/quote.html
