Splais wrote:Phishing, boy I should have looked closer at price spread, low to high in 09. Love the way you overlayed those charts. Now tell me there is an easy way to do that.
SteveKL, I hadn't seen that on Vanguard site, I will find it.
One of the things I see and haven't quit grasped yet is the following: when you look at the last ten years, not all, but a lot of the funds totally recovered there original highs in the 09-13 period, some in only two years. So doesn't it follow, that if you just bit your lip in 09 and held on, it didn't really matter what fund you had. Now of course this only holds true if you will not need the money. When I look at phish's chart, if there is any chance you will need the money then caution is the only option.
You can do fund comparisons on Morningstar, that's where the link is from. As to your second point, yes, you would've been back to where you started had you bit your lip and held on. However, if you re-balanced by selling bonds and buying stocks, you'd be doing even better. That's why you often hear of the re-balancing bonus. I'd argue re-balancing is more of a way to control your risk profile than to boost returns, but in this instance you would have netted the bonus by re-balancing at the March 2009 nexus.