Individual stocks are highly risky.Yea, stocks aren't risky. /sarcasm
Actually, bonds are the risk in the portfolio.
You seem to misunderstand that just because risk didn't show up that it couldn't have showed up or won't show up in the future. The reasons stocks generally have higher long term returns is because of the possibility that they won't, not just because they will have a much wilder ride even if they do.
Mutual funds are like an insurance pool to mitigate any individual risk out.
A broad enough fund smooths the risk and sums the reward.
"Stocks" does not equal sum of stocks (broad mutual fund).
Statistics: Posted by markbike528CBX — Tue Feb 11, 2025 11:30 pm — Replies 27 — Views 1426