The Bettr Blog

2016’s Winners and Losers

Feb 3, 2017 | Investing, Stock Markets

[vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” text_align=”left” css_animation=””][vc_column][vc_column_text]It’s always fascinating at this time of year to see which asset classes have performed well and to compare them with where they ranked in 2015.

Below you will find each of your Portfolio’s asset classes ranked in order of their performance in 2016, with their 2015 ranking below in brackets.[/vc_column_text][vc_empty_space][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” text_align=”left” css_animation=””][vc_column][qode_pricing_tables columns=”three_columns”][qode_pricing_table title=”No. 1: Dimensional” price_font_weight=”” active=”no” price=”36.76%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 6)”]

International Value

[/qode_pricing_table][qode_pricing_table title=”No. 2: Dimensional” price_font_weight=”” active=”no” price=”34.59%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 9)”]

Emerging Markets Core Equity

[/qode_pricing_table][qode_pricing_table title=”No. 3: Dimensional” price_font_weight=”” active=”no” price=”32.67%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 2)”]

International Core Equity

[/qode_pricing_table][/qode_pricing_tables][vc_empty_space][qode_pricing_tables columns=”three_columns”][qode_pricing_table title=”No. 4: Legal & General” price_font_weight=”” active=”no” price=”20.36%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 7)”]

All Stocks Index Linked Gilts Index

[/qode_pricing_table][qode_pricing_table title=”No. 5: Dimensional” price_font_weight=”” active=”no” price=”20.90%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 8)”]

UK Value

[/qode_pricing_table][qode_pricing_table title=”No. 6: Vanguard” price_font_weight=”” active=”no” price=”16.58%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 5)”]

FTSE All-Share Index

[/qode_pricing_table][/qode_pricing_tables][vc_empty_space][qode_pricing_tables columns=”three_columns”][qode_pricing_table title=”No. 7: Dimensional” price_font_weight=”” active=”no” price=”4.49%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 1)”]

UK Small Companies

[/qode_pricing_table][qode_pricing_table title=”No. 8: Vanguard” price_font_weight=”” active=”no” price=”3.51%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 4)”]

Global Bond Index

[/qode_pricing_table][qode_pricing_table title=”No. 9: Dimensional” price_font_weight=”” active=”no” price=”1.89%” currency=”+” price_period=”return 01/01/16 to 31/12/16
(2015 Ranking: 3)”]

Global Short-Dated Bond

[/qode_pricing_table][/qode_pricing_tables][/vc_column][/vc_row][vc_row row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” text_align=”left” css_animation=””][vc_column][vc_column_text]

As you can see the top two ranking asset classes came in 6th and 9th in 2015, while the bottom three’s ranking was 1st, 4th and 3rd!! Yet again we see a perfect example of the randomness of returns and the folly of trying to pick the winners whilst avoiding the losers. You see from year to year you never know which markets (asset classes) will outperform but thankfully there is no need to.

The solution…

By holding a globally diversified portfolio, such as the one you have, you are positioned to capture returns wherever they occur giving you the best chance of having a successful investment experience.

(Source: Dimensional Fund Advisors/Vanguard/Legal & General)
Performace figures are net of all management and custodian charges and include the reinvestment of all dividends and any capital gains distributions. Past performance does not necessarily indicate future performance. The investment return and principal value will fluctuate so that an investment’s shares/assets, when redeemed, may be worth more or less than their original cost.[/vc_column_text][/vc_column][/vc_row]

Disclaimer: This document is intended for informational purposes and no action should be taken or refrained from being taken as a consequence of it without consulting a suitably qualified and regulated person.  It does not constitute financial advice under the terms of the Financial Services and Markets Act 2000. It is not an offer to sell, or a solicitation of an offer to buy, the instruments described in this.

Investments involve risks. The investment return and principal value of an investment may fluctuate so that an investment, when redeemed, may be worth more or less than its original value. Past performance is not a guarantee of future results. There is no guarantee strategies will be successful.