Interesting WSJ article on reasons not to abandon the 60/40 mix despite such a horrendous year.
It's interesting to watch the younger folks on the social media platforms, in the investing/finance space. Many got their start and came into the space after 2008-2009 and have never known anything other than the long 11-12 year bull run we had. Now that we're getting the long-overdue correction, a necessary part of the economic lifecycle, they're all panicking and second-guessing these guidelin es/guardrails that have been in place and worked for a very long time, through lots of economic turmoil. They thought they were geniuses because their portfolios only went up and up.
One popular fintwit guy who has a massive twitter following actually folded and broke two of the most fundamental rules. He bragged about having gone to cash a while back, and now has missed some pretty good days, like Friday! He's got that big problem of having to time the market right to get back in, while he watches inflation eat away at his cash.
People forget - 60/40, 4%, all of that has years like last year baked in. They have recessions, bear markets, all baked in.
PS Your *personal* asset allocation shouldn't be some rule of thumb anyway, if you're doing it right. It should be the proper answer to your time horizon, income needs, and the risk tolerance baked into your DNA
