The S&P 500 index has been “relief rallying” like crazy, but to most income investors, this means nothing. The wider the basket of stocks, the rougher the year it has been. Let’s consider that (as I’m writing this):
- Year to date, the “big cap focused” S&P 500 is down “just” 12%. However,
- When we weight its 500 stocks equally, its return drops to 20% YTD. And,
- When we expand the universe to look at small cap stocks, we see the Russell 2000 is down a brutal 24% thus far in 2020:
Don’t Let the S&P 500 Fool You
Plus, we now face another problem: an income drought!… Read more
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