What’s the argument against going COST over total market index funds?


COST has destroyed the market’s returns for a while now. It’s an extremely stable company with lots of room for growth. Perhaps more importantly, especially right now, it holds up pretty well in a bear market. Of course there is still risk in investing in this company alone, but is a total market ETF really a better move? Would you not be beating the market if you invested in something like COST during a recession?

For example I have built my own portfolio for the most part but I still have around 15% in a total market ETF. Would it be stupid to sell and buy COST (and similar companies that fair well in this type of market)?

I’m interested in hearing some thoughts on the matter.


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