The 2016 returns are in. The asset tables are updated.
I’ve explained this before here, here, here, and here, but I’ll do it again just in case. People use data to tell a story.
The simple story for these tables is diversification, allocation, and market cycles. It’s hard enough to pick the best performers every year, but even harder to do it while avoiding the worst ones, so we diversify across asset classes and geographies. When you take the good with the bad, you get a decent return over time. Decent may not be exciting or something to brag about at parties, but it gets the job done thanks to compounding. Really, that’s what you want. Exciting is for skydiving, not investing. Don’t get those confused. Continue Reading…