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Nowhere to Hide…

How weird has 2015 been so far?  This weird – every major asset class is negative on a one year basis (via Capital Spectator):

returnsI don’t have the exact data, but I would venture to guess that this just about never happens.  Heck, even a long-term bond is barely positive on a 1 year basis.  If you had told me that China might be falling apart in 2015, emerging markets were falling 25%+ and we’d have a flash crash I’d have guessed that long-term bonds were up 10%+ in that period.  But no, even bonds have been suppressed.

There has been almost nowhere to hid this year.  Except for cash of course. And I am old enough to remember a few months ago when certain Robo Advisor proponents were arguing that cash should never be held in a brokerage account.  Aside from being a fallacy of composition that position looks pretty silly right now.  But as they say, this too shall pass….