Originally Posted by NW-Bound
My return for 2016 is ... drum roll please... 8.9%.
At 59% stock, 36% cash, and a bitty bit of bond, I trailed Wellington which is at 11.2%.
If I held 60% of VTI (total stock) which returns 11.6% and 40% of BND (total bond) at 2.5% and never rebalanced during the year, I would have 8%...
Originally Posted by Cobra9777
...Benchmark is a 60/40 mix of VTI/BND, which was up 8.7%...
The above caught my attention, so I double-checked my numbers. Apparently, I looked up the performance of these ETFs too early on Dec 30th, and not all dividends were included in the numbers. My portfolio had some late dividends too, but these were not significant.
So, I looked it up again. According to Morningstar, VTI return was 12.68%, and BND return was 2.57%. The 60/40 blend with no mid-year rebalancing would have a return of 8.64%. My earlier number was too low, and missed by 0.64%. That minuscule 0.64% is important nowadays when CDs are paying a meager 1%.
My active investing barely matched that benchmark. It's nothing to brag about, although I held a lot of cash instead of bonds.