Not exact matches
As it happens,
equity markets rebounded shortly after I wrote that original post: 2011 finished
with a modest 2.4 % return for the Complete Couch Potato.
That's important because you don't want to go into a
market meltdown
with too much in stocks and end up bailing on
equities at the
market bottom — or have less than you should in stocks after a crash and miss out on the gains when stocks
rebound.
After the
equity market rebounded in early 2009, low interest rates caused a sustained positive correlation of bond returns
with those of stocks.
Not only will you benefit by having better cash flow on a monthly basis
with your rentals, you will also be in a better position
with equity when the
market rebounds in the coming years.