Re:Stock Market: What Happens If Tesla Enters S&P 500
by zie on Saturday August 01, 2020 @05:54PM
(#24024212)
I agree with bsmith. SCV is riskier, and in theory provides better returns. You can minimize the risk a little by tilting a little, like Paul Merriman recommends.
As long as we are performance chasing[0].. CAGR 27.22%! or Bitcoin before the pop, or any of the big FAANG's alone :)
Obviously I'm not suggesting you actually buy and hold UPRO 100% AA.
The problem is, we have no idea what the future holds, and can only guess. Buying the market(VTSAX/VTI) is the next best thing, you can't really do wrong, but you also won't "win" in the sense that you only get winners. Or VT if you want the global market.
As long as we are performance chasing[0].. CAGR 27.22%! or Bitcoin before the pop, or any of the big FAANG's alone :)
Obviously I'm not suggesting you actually buy and hold UPRO 100% AA.
The problem is, we have no idea what the future holds, and can only guess. Buying the market(VTSAX/VTI) is the next best thing, you can't really do wrong, but you also won't "win" in the sense that you only get winners. Or VT if you want the global market.
0: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...