Core Viewpoint - The article discusses the potential benefits of an all-equity investment portfolio compared to traditional balanced portfolios, suggesting that a 100% equity strategy may lead to better long-term retirement outcomes [2][4][6]. Group 1: Portfolio Strategies - Traditional 60/40 portfolios are being challenged by a proposed 50/30/20 split, with some advocating for a 100% equity portfolio as a more aggressive investment strategy [1][2]. - Research indicates that portfolios with a mix of domestic and foreign stocks may provide better diversification than those including bonds, regardless of the investor's age [2][4]. Group 2: Performance Analysis - An analysis of stock and bond returns from 39 countries from 1890 to 2023 shows that an all-equity portfolio outperformed balanced portfolios in terms of retirement wealth, income, capital preservation, and bequest at death [4]. - The all-equity strategy reportedly delivers 50% more retirement wealth on average compared to balanced portfolios [6]. Group 3: Risk Considerations - While bonds are often viewed as safe diversifiers, their long-term performance is considered unfavorable, as they become riskier and more correlated with stocks over time [3][4]. - The key risk for all-equity investors is volatility, with historical data indicating that markets can take significant time to recover from downturns [5].