Prediction: These 3 Vanguard ETFs Will Double Investors' Money in 5 Years
Despite a rising-interest-rate environment and recession fears, the stock market has continued to deliver solid performance. Over the past year, the S&P 500 is higher by 24%.
However, much of the strong performance has been driven by growth stocks, specifically of the mega-cap variety. Value stocks, small-cap stocks, and real estate investment trusts (REITs) have all dramatically underperformed the overall market. But I think that's about to change. Here's a rundown of the underperformance, why the next few years could be great for investors in these areas of the market, and three ETFs that have the potential to double investors' money over the next five years.
To put it mildly, it's been a long cycle of outperformance for large-cap stocks, and mega-cap tech stocks have fueled much of the market's gains. Here's a comparison of the performance of the S&P 500, value stocks, small-cap stocks, and real estate stocks over a few different time frames.
Source Fool.com