The 60/40 Portfolio: Does It Hold Up Today?
The 60/40 strategy, which involves investing 60% in stocks and 40% in bonds, has long been a go-to for risk-averse investors. But does this approach still hold its ground in today’s fast-paced market? Stay tuned as we explore the past, present, and future of this investment strategy and determine whether it’s still a cornerstone of wealth management or if it’s time to adapt to new realities.
Marcos will take us back to the origin of the 60/40 portfolio split and explain why it was once a beacon of stability. Then he’ll shed light on how prolonged low interest rates, strict financial regulations after the 2008 crisis, and other economic factors have challenged the effectiveness of the 60/40 portfolio. He’ll also share some alternative investment options and key considerations to keep in mind when rebalancing a portfolio.
Here’s some of what we discuss in this episode:
- What is the 60/40 portfolio and what is its history?
- How have recent economic factors affected the effectiveness of the 60/40 strategy?
- What are the key considerations when rebalancing a portfolio, and what potential risks should investors be aware of?
Book a 15-minute discovery call with the team here: https://calendly.com/ask-bulmanwealth or ask questions via email at ask@bulmanwealth.com.
