With that in mind, we thought it would be interesting to look back at the past decade and see how investment choices you might have made would have turned out. In Figure 1 and 2, we show the total returns, in US dollars, for a selection of asset classes (including some unusual ones for the more adventurous out there).
A few points to ponder:
* A number of articles are being written pointing out that we are experiencing one of the longest periods of economic expansion (or a bull market). The charts above reveal that, from a market-performance point of view at least, this is very much a US phenomenon. Outside of US equities, returns have been decidedly less bull-like.
* As for the US market, 10 years ago, much of the discussion in the business media bemoaned the US’s “lost decade” after the prior market peak in mid-2000. A decade on, those who listened to them and threw in the towel will be kicking themselves.