The traditional 60% stock/40% bond portfolio, using publicly available, low-cost mutual funds, performed extremely well over the last 36 years—a period that included two of the worst bear markets in U.S. history. From 1982 through 2017, a period that begins both with a bull market and peak in interest rates, a portfolio allocated 60% to the S&P 500 and 40% to five-year Treasuries returned 10.4% a year with volatility of 10.2%.