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senshan 3 hours ago

For those who stick to a meaningful asset allocation (e.g. 60/40, 80/20, etc), this does not pose significant problem -- they would not be buying much stock in the last 3 years. Instead, they would be buying mostly fixed-income. Probably mostly in 401k/IRA accounts.

mint5 3 hours ago | parent [-]

But if their debt goes bad, isn’t that debt the very bonds that make up the other part of those asset allocations?

senshan 3 hours ago | parent [-]

Typical total bond market fund like BND is ~70% in USG -- pretty solid:

https://investor.vanguard.com/investment-products/etfs/profi...