Sentences with phrase «because average stock market returns»

That's because average stock market returns have been higher than those on bonds and savings accounts over time.

Not exact matches

Diversification strategies appeared to have «worked» during the golden years of the 1980s and 1990s, simply because US stock markets were returning 17 % to 18 % every year on average during those two decades and Stevie Wonder could have pointed to a bunch of stocks from a newspaper listing the components of the US S&P 500 during that period and likely would have fared very well.

Surz maintains that because the stock market has generated positive returns about 70 percent of the time historically, simulations of participants» wealth using traditional TDFs» portfolios forecast good average long - term results.

Many people tout the virtues of stock investing, especially because history shows that the stock market has provided one of the greatest sources of long - term wealth, with compounded returns averaging 10 percent per year over the past 100 years.

Low - risk stocks do better than stocks as a whole because their return is only slightly lower in bull markets and is much better than average in bear markets.