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I'm absolutely not risk-averse nor should anyone mistake VT as a low-risk investment for the risk-averse. After all, VT was down about 40% at the worst of information technology. So I'm absolutely a risk-taker, though an important distinction must be made as to which risk. I see no reason to take uncompensated risk or unsystematic risk. Sure, you quite possibly lucky with sector bets, but basically if i can only own one ETF, Certain see that as a good strategy the real deal money.
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Also, let's put this in thoughts and opinions. You reference the eurozone debt circumstance. I'd like to point out that last year everyone loved Europe along with the euro. The broader European stock markets were up about 35% in 2009, compared to around 25% for the broader American stock market places. So how did investors in VT do? They enjoyed a return of about 30%. Now in 2010, the eurozone debt crisis has punished the euro and European markets. Yet for most of the concern, the VT is about flat for the year after being down at worst 10% in June. Manage investors, the investing experience generates a far worse mental account than real return.
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