Why Stocks Are Safer Than Bonds

Above is an image of a United States 1st Class Postage Stamp from 1975. As you can see, it cost 10 cents.

Today, a 1st Class Stamp costs 41 cents and is scheduled to increase to 42 cents in May of this year.

That is a quadrupling of price in just over 3 decades, and I'm sure you can think of several other examples of this concept -- homes, cars, groceries, education, etc. -- all much more expensive today than they were in 1975.

So, what's the lesson here?

If a long-term, well diversified portfolio of stocks doesn't represent the majority of your investment portfolio today, how do you plan to keep up with rising costs that could triple or quadruple in the next 30 years?

*If you're interested in the longer-term history of US Postage Rates, click here.