Investing in the S&P 500 Alone is Not the Silver Bullet – The Brain Behind (S3E13)

As the leading fee-only wealth advisory firm in Asia, our Founder and CEO, Christopher, discusses in his Business Times article why you should not simply invest in the S&P 500 alone.

With competing views from sources like Business Insider claiming that the S&P 500 will hit 8,000 to 15,000 points by the end of the decade, does this trigger a 'fear of missing out' for you?

In this week’s Money Wisdom episode, our co-host Amelia, from the Brand Experience Team, asks Chris why the S&P 500 should not be viewed as a simple and seemingly magical solution to a complicated problem. When it comes to enabling your non-negotiable life events such as retirement, it is more important to ensure the reliability and sufficiency of your investment returns.

While it is true that you could achieve a higher return by investing in the S&P 500 compared to a globally diversified portfolio of stocks and bonds, the crucial question is whether you can stomach the risks and ride through the extreme volatility that comes with a single-country index.

Timestamp:
02:58 Diversifying beyond the S&P 500.
06:09 Single-index investing in the S&P 500 can lead to higher returns but with higher volatility.
10:16 Historical performance isn't a reliable predictor.
12:44 Global assets and bonds help maintain investments and benefit from recoveries.
15:00 Reduce risk and achieve your long-term goals.

You can read Chris’ article in The Business Times on this topic here: https://providend.com/investing-in-th...

You may also enjoy listening to this podcast here: https://providend.com/investing-in-th...

To ensure a good investment experience, Providend is committed to delivering reliable returns, prioritising this over maximising returns and taking unnecessary risks that do not meet your needs. Learn more about our investment philosophy here: https://providend.com/wealth-solution...

Stay tuned for our next podcast episode, where we will be jumping into part 7 of our miniseries: “The Story of Our Clients’ Wealth Journey”.

The host of this episode, Amelia Wong, is the Senior Content & Digital Marketing Executive at Providend, the first fee-only wealth advisory firm in Southeast Asia and a leading wealth advisory firm in Asia.

Music courtesy of ItsWatR.

Want to listen to our Providend’s Money Wisdom podcast while you’re commuting to work, enjoying a workout or simply to start your week on the right foot? Follow our audio only podcast on your favourite podcast platform for new episodes fortnightly on Mondays at 8am:
▸ Spotify: https://open.spotify.com/show/5Z3FcQx...
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If you would like an honest second opinion on your current investment portfolio, financial outlook, or retirement plan, make an appointment with us today: https://providend.com/our-clients/ser...
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Providend is very excited to share that we are now ready to extend our service offerings to the younger accumulators who are looking for holistic, independent, conflict-free wealth advice!

For this group of younger accumulators, we know that it is not easy to make retirement planning a priority when other financial goals – buying a first home, for example, or saving for a child’s education – appear more pressing. Learn how we can help here: https://providend.com/our-clients/acc...
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▸Providend's Money Wisdom Podcast Season 3 at https://providend.com/providends-mone...

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