The recent market hiccups and enhanced volatility are only serving to underscore one major factor.
Finding great returns is getting pretty hard to do. After 8+ years of straight up returns, U.S. stocks have become a bit expensive on several metrics. And in those higher valuations, investors are willing to overlook “less” in terms of missed earnings expectations, geological problems and other issues.
In the end, we may not be looking at historical returns going forward.
But don’t fret. There are ways to get more oomph out your portfolio now that the risk-reward balance is getting harder to navigate. For investors, following a different framework is, potentially, key.
Click here to learn how one would typically measure and manage risk in an investment portfolio.