Repurposed from the Visual Capitalist / Voronoi chart:
“Charted: Asset Class Returns Across Eras (1990–2025)”
(data source noted as Goldman Sachs).
If you can’t access the article directly, a mirrored version is often available via Voronoi:
Voronoi app page
.
Asset Class Returns Across Eras: What 1990–2025 Can Teach Investors
At MBC Financial, we spend a lot of time translating market history into practical, personal plans. One of the most useful ways to cut through noise is to compare how major asset classes have performed across different economic backdrops — not just in one “headline” year.
The chart breaks performance into three periods:
- Long-term: 1990–2025
- Mid-term (post-crisis era): 2010–2025
- Recent cycle: 2020–2025
The key message is simple: what “worked best” changes by era. That’s exactly why diversification and a clear plan matter.
1) 1990–2025: Returns and volatility come as a pair
Over the full 35-year window, growth-oriented assets generally delivered higher returns — but with greater ups and downs along the way. The chart highlights private markets as the top long-run performer (with notably high volatility), while global equities also delivered strong long-term compounding. Assets such as bonds and real estate typically sit in the “steadier but lower return” category.
2) 2010–2025: The post-crisis era didn’t reward every “defensive” asset
Following the global financial crisis, markets were shaped by low interest rates and long recoveries. In that environment, many risk assets performed well. But the chart is also a reminder that “defensive” doesn’t always mean “reliable in every scenario” — especially when interest-rate conditions shift.
3) 2020–2025: The recent cycle saw bigger divergences
The most recent period (covering the post-pandemic inflation and rate-hike environment) shows a sharper split between winners and laggards. In particular, the chart flags gold as a standout in this era, while bonds struggled as interest rates rose.
What this means for your investment plan
Build for different “eras”, not one forecast
If the best-performing asset can change so much from one period to the next, a resilient strategy is one that can cope with multiple outcomes — rather than relying on a single prediction.
Use diversification with intention
Diversification isn’t about owning “a bit of everything”. It’s about combining assets that behave differently, so your overall plan is less dependent on one market regime.
Match risk to real-life timelines
The right portfolio is the one you can stick with. Time horizon, cash needs, and comfort with volatility should drive decisions just as much as return targets.
How MBC Financial can help
Charts are useful — but your plan should be personal. At MBC Financial, we help clients turn historical insight into clear, practical decisions: risk level, diversification, contribution strategy, and the structure that supports long-term progress.
Want a second opinion on your current mix? We can help you sense-check whether your portfolio is built for the next “era”, whatever it turns out to be.
Important: This article is for general information only and does not constitute financial advice.
Investments can go down as well as up, and you may get back less than you invest.
Past performance is not a reliable indicator of future results. Consider seeking independent advice before making financial decisions.