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re: Is Modern Portfolio Theory Dead?

Posted on 3/2/24 at 3:59 pm to
Posted by gpburdell
ATL
Member since Jun 2015
1425 posts
Posted on 3/2/24 at 3:59 pm to
quote:

Paul Merriman Portfolio beat the S&P 500 over the last 50 years.


Sure if you invested a lump sum 50 years. If you compare the returns of the the last 5, 10, 20 years it would lose to S&P 500.
Posted by SaintsTiger
1,000,000 Posts
Member since Oct 2014
1128 posts
Posted on 3/2/24 at 4:53 pm to
Watch this video. Breaks it down decade by decade since the 1930s. LINK Includes charts and graphs. Outperforms by a lot. And oh by the way the 4 fund portfolio does include the S&P 500 companies.

https://ibb.co/P6kc25d
This post was edited on 3/2/24 at 5:01 pm
Posted by slackster
Houston
Member since Mar 2009
85482 posts
Posted on 3/2/24 at 4:56 pm to
quote:

Sure if you invested a lump sum 50 years. If you compare the returns of the the last 5, 10, 20 years it would lose to S&P 500


From point A to point B, sure, but that’s not how life often works. I think that’s often overlooked in these threads. Average and median S&P 500 one year returns smoke pretty much every traditional asset, but it doesn’t mean it’s a good idea for money you need in 12 months.
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