The large misnomer in Equity Index Investing has been that the past 10 years has produced the longest and greatest bull market ever.
Other than the S&P 500 and Nasdaq, many of the world’s (Australia, France, Italy, UK, Spain & Germany) major indices have either treaded water or had marginal returns since 2010.
Japan’s Nikkei has doubled over the same time, however that is commensurate with it producing a compounded annual return of 7%.
It has been with good doses of conformity and complacency that investors should question whether the rise of passive index tracking ETF’s has provided what they were looking for.
I like picking specific stocks and investing directly in those companies.
Other than the S&P 500 and Nasdaq, many of the world’s (Australia, France, Italy, UK, Spain & Germany) major indices have either treaded water or had marginal returns since 2010.
Japan’s Nikkei has doubled over the same time, however that is commensurate with it producing a compounded annual return of 7%.
It has been with good doses of conformity and complacency that investors should question whether the rise of passive index tracking ETF’s has provided what they were looking for.
I like picking specific stocks and investing directly in those companies.
May 20, 2020
by Rob Zdravevski
rob@karriasset.com.au