Something went wrong, again, in 2008. There was no good place for the money to go. There still isn’t. The machine is overwhelmed and broken. We can’t simply keep building stuff or extracting natural resources every time the markets burp up another catastrophe.
Why do I claim so blithely that the machine is broken? The US had to engage in quantitative easing for 8 years in a row. The US has not felt confident enough about the market to raise the base interest rates on government obligations. Now, Japan has gone there, into negative bond interest territory. We did not hear much about it when negative interest became common in Europe in 2014-2015.2 I do not feel optimistic about the abilities of the investor class to manage the global economy here on out.
But yes, by all means, have a solid portfolio and rebalance it annually and keep your fingers crossed.
*When, after Seattle in November 1999 it became clear to the WTO World Economic Forum OECD Bilderburg Bohemian Grove crowd that their private events, held to determine the economic fate of the world, could no longer be conducted in large cities without people indicating their displeasure, Jackson and Doha and islands and cruise ships became the best places to hatch their plots.
1. How to Balance Your Retirement Portfolio. http://www.marketwatch.com/story/how-to-rebalance-your-retirement-portfolio-2013-11-02 Accessed 02-13-2016
2. Viewpoints: Why the Bond Market is Yielding Negative and What Negative Means for You. http://europe.pimco.com/EN/Insights/Pages/Why-the-Bond-Market-Is-Yielding-Negative-and-What-Negative-Yields-Mean-for-You.aspx PIMCO website, accessed 2-13-2016