Updated: May 19, 2020
Many people fear investing in the stock market is like gambling. In reality, however, this is far from the case. Average investors have made significant amounts of money over the last ~13 years. The chart below demonstrates that if you would have invested all your money into the S&P 500 at the highs of the market in 2007 you would still have achieved an 83% increase at the market lows in 2020. I don’t know of many gamblers that could say the same if they gambled with all their net worth on a daily basis. There may be a few but not many.
Top ETF of the Week: iShares Aggregate Bond (AGG)
The iShares Aggregate Bond ETF (AGG) seeks to track the investment results of an index composed of the total U.S. investment-grade bond market. This index is very conservative. It’s a very defensive position that tends to outperform while the stocks are selling off.