An analysis from Morningstar found that the classic mix of stocks and bonds outperforms a more widely diversified portfolio over long periods of time.
The reputation of the classic investing strategy, which refers to a split between stocks and bonds, took a beating in 2022, when equities fell and bonds also performed poorly. But it bounced back last year, with Morningstar’s 60/40 portfolio gaining about 18%, according to a report from the company.
Sourced from Bloomberg