Max King: How does FTSE 250 performance stack up?

UK

One of the most popular but also the most misguided aphorisms about investment is that "nobody ever went broke taking a profit."

Ostensibly this statement is true, but plenty of investors have gone broke taking profits only to reinvest in duds. Hence “run your winners, cut your losses” has been a much more reliable rule of investment. Investing in the FTSE 100 in the 12 years of this millennium, the winners have gone on winning, although not every year, and losers have gone on losing. There are exceptions, but not many. Mostly they cluster around inflection points in the market. In 2000, a period of mega-cap outperformance came to an end, whereas 2003 marked the point that the long-term winners emerged from the...