Research.LeutholdGroup

There’s More To It Than That

It’s a down year for stocks, yet John Bogle must still be chuckling. A full-employment economy that had propped up one of the two most overvalued stock markets in U.S. history just suffered a cataclysmic “sudden stop.” Yet Bogle’s buy-and-hold disciplines have so far dodged the bear. How so? Investors who: (1) own only the S&P 500; (2) reinvest dividends; and, (3) peek at their statements on no more than a monthly basis saw a peak-to-trough loss of only 19.6%. The bull market lives! And history looks better than we remembered it!