
“Lost Decade” of Investing? Not at the Coffeehouse!
2009 is history, and of course the financial media is writing a lot about the “lost decade” of investing. That may be the case for blue chip stocks of the S&P 500 index, which generated a ten-year negative annualized return of -1.03 percent.
For investors who embraced a diversified portfolio beyond domestic blue chip stocks, long advocated at the Coffeehouse (first suggested in 1999), the decade was anything but “lost.”
Below are the numbers that show the returns over various time periods, with the 10-year annualized number coming in at 5.74%.
Investors who completely ignored the daily ups and downs of the market, completely ignored the empty daily chatter of Wall Street, and instead embraced this simple portfolio and got on with their lives, came out ahead once again.
Is it time for you to finally embrace the Coffeehouse investment philosophy in your life and in your portfolio?
Don’t let the next decade be another “lost decade” of investing.
Remember, when it comes to investing, “time” is the most precious asset class of all.
|
|
|
ANNUALIZED |
|
|
|
RETURN |
|
|
|
|
|
|
1991 |
23.55% |
|
|
1992 |
9.57% |
|
|
1993 |
15.65% |
|
|
1994 |
-0.58% |
|
|
1995 |
22.90% |
|
|
1996 |
14.53% |
|
|
1997 |
17.95% |
|
|
1998 |
6.89% |
|
|
1999 |
8.30% |
|
|
2000 |
7.25% |
|
|
2001 |
1.88% |
|
|
2002 |
-5.56% |
|
|
2003 |
23.54% |
|
|
2004 |
13.80% |
|
|
2005 |
6.24% |
|
|
2006 |
15.15% |
|
|
2007 |
2.63% |
|
|
2008 |
-20.21% |
|
|
2009 |
20.26% |
|
|
|
|
|
|
|
|
|
19 YEARS |
|
9.10% |
|
|
|
|
|
10 YEARS |
|
5.74% |
|
|
|
|
|
5 YEARS |
|
3.79% |
|
|
|
|
|
2 YEARS |
|
-2.04% |