Here is a great story. Back in 2003, I launched Young Research’s Retirement Compounders to form the basis of a new portfolio service for our clients at Richard C. Young & Co., LTD. The new stock portfolio service was based on my long-held view that dividends and compound interest could work to achieve consistent returns in all kinds of weather. We now have eight full years of returns in the books. Here is how things stand.
The Morningstar database lists data on 4,500 diversified stock funds with returns from 2004 forward. Only two funds in each of the last eight years have earned more than the S&P 500. (That’s two out of 4,500.) Young Research’s Retirement Compounders, although not a fund, has achieved the same record. When I kicked off the RCs in 2003, I never dared hope to achieve such success. But I am pleased with the results, as are clients of our management company, for whom the RCs were originally started.
The American economy is burdened today by historically high deficits and debt. The Fed, which I would abolish, continues a charade of artificially low interest rates, which allows Wall Street speculators to borrow at virtually nothing, while America’s hard working savers earn nothing in savings accounts. We need new leadership in Washington that will allow America’s small business owners to re-start the jobs creation engine. A national Right To Work law must to be passed. Until our ship of state is righted, the environment for stocks and bonds is going to remain bleak. In today’s environment, a portfolio of high-yielding blue-chip stocks offers investors an ideal shelter, and the Retirement Compounders have proven to be just the ticket. To learn more click here.