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Jeffrey Merwin
Jeffrey Merwin
Financial Management Network Registered Representative
https://www.fmncc.com/ (949) 455-0300

Jeffrey G. Merwin started with FMN in the rigorous mentorship program and has since become a Registered Representative with FMN Capital Corporation and an Investment Advisor Representative of Financial Management Network. He holds his Series 7 (General Securities Representative Exam) and 66 (Uniform Investment Adviser - Combined State Laws Exam) securities as well as a Life/Disability Insurance License. Jeff graduated from Bentley University with a Bachelor of Science degree in Economics-Finance and a minor in Law.


Jeff is dedicated to having an in-depth understanding of each of his client’s needs and goals. Jeff works with his clients to develop customized strategies that help meet his client’s unique needs in order to maximize cash flow, increase net worth, lower taxes, and ensure their estate plan meets their needs. If you are an individual, family or business owner Jeff can help you achieve your personal, professional, and financial goals. Jeff works with a team of Certified Financial Planner(tm) practitioners and Enrolled Agents to ensure his clients receive expert advice and best-in-class service.

Jeff is originally from Connecticut but has traded in the cold New England winters for sunny California and currently lives in Laguna Niguel. He enjoys the outdoors, is an avid sports fan and likes spending time with friends and family.

Best-Performing Asset Classes

Investment Read Time: 4 min

According to Yale University's Crash Confidence Index, only about 24% of investors are confident the stock market will not crash sometime during the next six months.1

If fear leads investors to avoid the entire investment class, they may limit their potential returns. For example, for most of the 10-year period between 2012 and 2022, stocks outperformed both cash and the 10-year treasury. Cash pulled ahead twice, once in 2018 and again in 2022. The 10-year treasury pulled ahead only once, in 2015.2

But the stock market is volatile. Between February 12, 2020, and March 23, 2020, the Dow lost 37% of its value due to the onset of the COVID-19 pandemic. Fortunately, recovery was swift, and by November 2020, US markets had returned to their pre-pandemic highs.3

If the impulse to be safe keeps investors out of the stock market, it may also keep them from taking advantage of the potential returns the stock market has to offer.

A sound investing strategy considers short-term volatility without losing sight of long-term objectives.

A sound strategy can involve diversifying capital between different classes of investments. That way, under-performance in one type of asset may be offset by the performance of another.

Bear in mind, though, that diversification and asset allocation are approaches to help manage investment risk. They do not eliminate the risk of loss if a security price declines. The asset class that performs best one year may not do so the next. Diversifying your holdings among several different investment types and understanding that asset classes can move in and out of favor may help you manage the risk in your investment portfolio.

Changing Lead

The asset class that performs best one year doesn’t necessarily do so the next.2

1. Yale University, 2022
2. PortfolioVisualizer, 2022. Cash is represented by 3-month Treasury Bills. 10-Year Treasury Bond is represented by data from the Federal Reserve Economic Data. Stocks are represented by the Vanguard Total Stock Market Index Fund, which is an unmanaged fund that is generally considered representative of the U.S. stock market. Index performance is not indicative of past performance of a particular investment. Past performance does not guarantee future results. Individuals cannot invest directly in an index. The 2022 asset numbers are as of October 31, 2022. Mutual funds are sold only by prospectus. Please consider the charges, risks, expenses, and investment objectives carefully before investing. A prospectus containing this and other information about the investment company can be obtained from your financial professional. Read it carefully before you invest or send money.

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.

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