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The Armbruster Capital Management News & Education section of our website incorporates articles, vidcasts, and newsletters specifically geared towards issues that our clients are facing today.

19 Jun

Prospect of Lean Returns For Stocks, Bonds Suggest Getting Creative

Rochester Business Journal
June 14, 2019
Mark Armbruster

Most investors have a mix of stocks and bonds in their portfolios. Stocks are there for long-term growth, whereas bonds are generally pur­chased for stability and income genera­tion. This has worked out pretty well historically, as stock returns averaged over 10 percent annually since the 1920s, and bonds have yielded over 5 percent, according to Ibbotson data. A balanced portfolio of 60 percent in stocks and 40 percent in bonds has become the de fac­to standard for many investment portfo­lios, as the returns have been substantial enough to meet most investors’ returns, while keeping risk in check.