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Old 04-12-2008, 04:54 PM
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disneysteve disneysteve is offline
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Quote:
Originally Posted by meaghanchan View Post
2. There is a chance (albeit small) that bonds will outperform stocks even over your very long time horizon
More importantly, there will be periods when bonds outperform stocks in the shorter term which helps cushion the bear markets.

Vanguard S&P 500 index: YTD: -8.71%; 1 year to 3/31: -5.17%

Vanguard Total Bond index: YTD: +2.43%; 1 year to 3/31: +7.70%

So for the past year, my bond fund has outperformed the stock fund by 12.87%!
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