IN BRIEF

  • Market volatility has begun to increase after several years of calm. Investors should stay focused on long-term market fundamentals instead of short-term news.
  • The volatile and asymmetric returns that are experienced on a daily basis are smoothed over during monthly and annual periods. Expanding the investment holding period over years and decades has historically improved the risk/return profile of an investor’s portfolio.
  • Diversified, regularly rebalanced portfolios have typically resulted in higher Sharpe ratios than other equity asset classes over 10-, 15- and 20-year horizons.
 

Would you like to download the full PDF?

IncludedImage DOWNLOAD PDF