$290,131Diversified Portfolio
$232,869All Stock Portfolio
$100,000
Tech
Wreck
Wreck
Great
Recession
Recession
-33%
-51%
- Diversified Portfolio
- All Stock Portfolio
Diversification Can Help Cushion Market Blows
As you can see in the chart below, the all-stock portfolio experienced a 51% drop in value during the Great Recession (October 2007 – February 2009), while a diversified portfolio experienced a 33% drop.
2007
JAN
DEC
Diversified Portfolio
$156,992
$209,560
All Stock Portfolio
$79,671
$110,030