The Dow Jones Index is not selected for higher returns or lower risk - so why would you think any realized performance was anything but a coincidence and why would you think it should be persistent?There you go with your theories again -- that the objective of an asset is to track the overall stock market. I thought the objective of an asset is total return and low risk. The DOW scores well on both.An index that claims to represent the overall stock market but diverges by mulitple percentage points from that stock market is a terrible index.
Given the choice, I prefer the Total Stock Market Fund but I would never say that the DOW is terrible. It's historical performance is quite good, despite the theories.
Statistics: Posted by avalpert1 — Mon May 06, 2024 9:21 pm — Replies 30 — Views 2358