The Best Performing Asset Class Since 2017: Stocks or Bonds?

I updated one of my favorite charts with the periods from the beginning of 2018 through yesterday.  In it I show the cumulative value of $10,000 invested in the S&P 500, Core Aggregate bonds, and risk-managed Dow Jones Index portfolios from conservative to aggressive.

You can see from the chart that the S&P 500 (black line, mostly on top) looked like a big winner until the end of February!  The winner?  Core bonds (green line intersecting at the end)!  The balanced portfolio DJ indices lagged severely due to the extraordinary equity market drawdown during this time horizon.

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I do not expect this situation to persist and there is no telling how long this situation will last, but it is worth noting to display the current market dynamics.    

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