You need to understand a key Macro regime substantially benefitting the investors.
According to a Vanguard study, 88% of an investors' returns are tied to asset allocation i.e., there is positive correlation between assets in the same class, meaning they typically move in the same direction.
While investment decisions are often taken based on market sentiment and “recency bias”, data proves that a vast majority of the returns of a portfolio can be attributed to appropriate asset allocation.
Best,
Himalay Bhatia
