2020 was a rollercoaster of a year – we take a look back at some of the important news items.
Asset Class Returns 2020 was a great year of dispersion of returns between asset classes with US Smaller Companies topping the performance chart and UK Equities at the opposite end. A well-diversified portfolio with a mix of different asset classes aims to smoothen this dispersion over the medium to long term.
This chart illustrates the performance of different asset classes* for the last decade and an illustrative balanced portfolio, which has a combination of the different asset classes. Over the last decade a well-diversified portfolio gave investors a less volatile ride compared to individual asset classes.
*All returns as at calendar year end, GBP
