Thursday, November 18, 2010

Junk Bonds vs S&P 500

Below is a performance comparison between JNK (junk bond fund ETF) and SPY (S&P 500 ETF) over the last 12 months. These charts show that junk bonds outperformed stocks by more than 60%. Moreover, they did so with almost 1/2 the volatility.

(Click on chart to enlarge it for easier viewing)







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