Author- Norman Berk
Professional investors know something that most people find impossible to believe: that the threat of scary ups and downs in the markets is by far the best friend of the long-term investor. Why? Because over the long term, stocks have provided returns far higher than bonds or cash.
When I told my partner Marshall that I was planning on writing an article on the wisdom of continuing to hold bonds in our client’s portfolios he suggested an excellent approach. Namely, should we plan for investing last year, or should we invest for this year, 2014, or should we plan to invest for the future.