2022 stock market decline

In fact, our analysis shows that – after accounting for factors that typically explain equity returns – a growing share of U.S. stock returns are tied to a single, common driver. We think investors should focus less on spreading risk indiscriminately and more on owning it deliberately – in short, a more active approach. We also think portfolios need a clear plan B and a readiness to pivot quickly. ... Another illustration of the diversification mirage? The spike in developed market bond yields over the last several weeks – underscoring our view that long-term bonds don’t help balance portfolios as they once did.