2016 Asset Class Returns

Asset Class Index Performance 2016
Emerging Markets MSCI EM 8.58%
REITs NAREIT Equity REIT Index 8.31%
High Yield Bonds Barclays Global HY Index 14.27%
US Bonds Barclays Aggregate 2.65%
US Large Cap S&P 500 11.96%
Commodities Bloomberg Commodity Index 11.40%
Developed Intl. Markets MSCI EAFE 1.00%
US Small Cap Russell 2000 21.31%

Charlie Munger’s Advice on Annuities and Privately Traded REITs

Anytime anyone offers you anything with a big commission and a 200 page prospectus, don’t buy it.  Occasionally, you’ll be wrong if you adopt the “Munger Rule”.  However, over a lifetime, you’ll be a long way ahead – and you will miss a lot of unhappy experiences that might otherwise reduce your love for your fellow man.

Source:  Bevlelin, P. (2003) Seeking Wisdom From Darwin to Munger. Sweden: Post Scriptum AB