“Lost Decade” of Investing? Not For This Portfolio

31 December 2009 No Comment Print This Post Email This Post

2009 is in the books, and of course much is being written about the “lost decade” of investing over the past 10 years. That may be the case for blue chip stocks of the S&P 500 index, which finished the period down 1.03 percent annualized.

For investors who embraced a diversified portfolio beyond domestic blue chip stocks long advocated at the Coffeehouse (first suggested in 1999), the decade was anything but “lost.”

The CoffeeHouse Portfolio

Below are the numbers that show the returns over various time periods, with the 10-year number coming in at 5.74%.

Investors who completely ignored the daily ups and downs of the market, completely ignored the mindless daily chatter of Wall Street, and instead embraced this simple portfolio and got on with their lives, came out ahead once again.

Is it time for you to finally embrace the Coffeehouse investment philosophy in your life and in your portfolio?

Don’t let the next decade be another “lost decade” of investing. When it comes to investing, “time” is the most precious asset class of all.

ANNUALIZED

RETURN

1991

23.55%

1992

9.57%

1993

15.65%

1994

-0.58%

1995

22.90%

1996

14.53%

1997

17.95%

1998

6.89%

1999

8.30%

2000

7.25%

2001

1.88%

2002

-5.56%

2003

23.54%

2004

13.80%

2005

6.24%

2006

15.15%

2007

2.63%

2008

-20.21%

2009

20.26%

19 YEARS

9.10%

10 YEARS

5.74%

5 YEARS

3.79%

2 YEARS

-2.04%

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