Risk vs Reward Trade Off

BEYOND TRADITIONAL: WHILE MANY INVESTORS HAVE MORE ACCESS TO AND KNOWLEDGE OF A WIDE RANGE OF ALTERNATIVE INVESTMENTS, IT’S STILL IMPORTANT FOR THEM TO BE AWARE OF BOTH THEIR RISKS AND RETURNS.

The following chart demonstrates how over a particular time period, those ‘assets considered’ at the riskier end of the spectrum can offer better risk adjusted returns than more traditional assets.

RISK RETURN OF VARIOUS ASSET CLASSES

JANUARY 2004 – DECEMBER 2009

Source: Calculated by Rydex SGI using data from Bloomberg.com, Barclays.com and standardandpoors.com.

Performance displayed represents past performance, which is no guarantee of future results. The aforementioned indices and indicators are not available for direct investment. The index returns do not reflect any management fees, transaction costs or expenses.