Sunday, December 3, 2017

Drawdown Drought

It's been such a long time
I think I should be going
And time doesn't wait for me
It keeps on going

Interesting graph showing amount of time before a 10% drawdown for a 'balanced' portfolio of 60% stocks and 40% bonds.

Only the 9.1 year run-up in portfolios in the late 1920s surpasses the current 8.7 year streak.

1920s run-up, of course, culminated in the great Crash of '29 and ushered in the Great Depression.

no positions

No comments: