A 2024 Pulse Check of the 60/40 Portfolio

The heated debate surrounding traditional 60/40 portfolios in today’s markets has dwindled in recent months. Given ongoing market volatility and the growing popularity of alternatives, does the traditional portfolio hold up today?

When the traditional portfolio, comprised of 60% equities and 40% fixed income, underperforms, it does so rather spectacularly. The pain that 60/40 portfolios felt in 2022 likely remains indelibly etched in the minds of advisors and investors.

However, those years of underperformance are few and far between. Bill Nygren, CFA, CIO-U.S., and Adam Abbas, head of fixed income, PM at Harris Associates, reviewed the 60/40 portfolio in a recent video.

Does the 60-40 Still Work

Image source: Natixis Investment Managers