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Are high risk stocks still a good option for young investors?

I have been invested in stocks since I was 5 years old when my dad gave me $100 to invest. Now that I have been in the workforce for a few years, I have both a traditional IRA and collection of individual stocks. I am 24 now and I have always heard that for young investors it is okay to have around 70% of your portfolio in stocks. Given the fact that the market has become increasingly volatile, is it still reasonable to balance your portfolio this way when you have 40 years before retirement? 

Investing, Asset Allocation, Stocks
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March 2016

Stock volatility actually isn't greater than in the past, it's very much in line with history and by some measures we are not in as volatile of a period as most decades. In fact, volatility is good for long-term investors. The volatility of any individual stock can be great, which is why it is better to have stock ownership through mutual funds where you remove specific risks of companies. If your time horizon is 10+ years, ideally every asset should be in growth assets like stocks. If you have 30% of your portfolio in bonds that money will be losing to inflation over the next 40 years. Your only hope is a diverse mix of assets that can keep up with inflation.

March 2016
March 2016