According to MarketWatch’s Chuck Jaffe mutual funds mark anniversaries to forget the past, not to celebrate it. With the three-year anniversary of the U.S. stock market’s bottom during the 2008-09 financial crisis passing last week, fund firms have a lot to be joyful about. They can now show off three-year track records that no longer include the 10-month dive that cut the market’s value in half.
Investors see that market bottom, reached March 9, 2009, as the low point of the worst bear market since the Great Depression. But fund companies think of it as the start of a powerful bull market. It’s something to brag about, with the Dow Jones Industrial Average DJIA -0.15% , Standard & Poor’s 500 Index SPX +0.11% and the Nasdaq Composite COMP -0.04% all up at least 95% since then.
Fund investors must decide how much of the past they want to remember when evaluating their investments, particularly now that three-year results no longer include the market’s darkest days. The anniversary of the bottom also creates a solid measuring point for determining if funds have met expectations….
Wait, wait...there's more at http://www.marketwatch.com/story/mutual-funds-say-bye-to-bad-three-year-records-2012-03-18
No comments:
Post a Comment