Cut in Half!

You heard me right.

Take your portfolio’s stellar returns over the past ten years and cut them in half for the next ten years. 

Now how is your financial plan shaping up? 

Cut those returns in half. That is not me talking – it is Vanguard. Take a moment and read Vanguard’s economic and market outlook for the next ten years. 

Is there anything you can do to potentially soften this dire prediction?

1. Peek inside your portfolio. Are you top-heavy in domestic large-cap stocks, and is it time to diversify? Domestic large-cap stocks are one dimension of the market likely to underperform all others – at least according to Vanguard’s research.
2. Update your financial plan using portfolio growth rates that reflect these muted returns. 

Hope for the best, and prepare for the worst.

Over the past twenty years, Coffeehouse Investors have benefited from portfolio diversification within their common-sense financial plans.

Is it time to take action in your portfolio? Send me an email and let's discuss a strategy that will work for the next 10 years and beyond.