Here is the article.
Summary
The benefits of this strategy are easy to see. Over 44 years it would have increased annualized return by 19% — and more than doubled the cumulative total return — with no additional risk. As far as I have been able to determine, this strategy is the best that an investor is likely to do. That's why I think it's worthy of the descriptive term "ultimate."
Putting this strategy to work
The trickiest part of this strategy is achieving the right level of risk for each investor — how, in other words, to divide your investments between stocks and bonds. Though I've used the industry standard of 60% stocks and 40% bonds, that mix may not be right for you. In my next column I'll show you how to find the right combination.
Before you put this strategy to work, you may want to learn more of what's behind it. Here are three easy ways to do that:
- For more details and important disclosure about how I arrived at the numbers cited above, I encourage you to check out my longer article.
- If you'd like to listen to a discussion of this strategy, check out my recent podcast.
- You can also find my specific and my for implanting this strategy.
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