OT: RSP vs. SPY

About a year ago I moved a reasonably sized portion of my SPY holdings into RSP - in the hope that it would do better going forward - especially in a downturn in the market.

Well the results have been - well not much.

https://www.google.com/finance/quote/SPY:NYSEARCA?comparison…

SPY : -11.82%
RSP : -10.98%

YTD numbers are a bit more favorable

SPY : -21.50%
RSP : -17.09%

tecmo

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About a year ago I moved a reasonably sized portion of my SPY holdings into RSP - in the hope that it would do better going forward - especially in a downturn in the market.
Well the results have been - well not much.

The best way to think of it is that RSP is on average the long run slight outperformer, and also more predictable.
But it sometimes goes five years as the loser.

The best way to think of the returns of SPY in any given period is “RSP plus or minus a random number, with a slight negative bias”.
The fortunes of just a few giant firms determine that variation.
On average over time, the very largest firms are overvalued and therefore underperformers.

Jim

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