How $10,000 Fared in 2024 Across a Range of Standout Investments

As we step into 2024, let's take a look back at how a $10,000 investment in various sectors and asset classes fared in the first half of the year. Using the provided background information, we'll explore the performance of utilities, energy, consumer staples, real estate, technology stocks, dividend stocks, emerging-market stocks, gold, high-quality bonds, and high-yield bonds.



In the first half of 2024, utilities investments, particularly dividend stalwarts like Dominion Energy Inc. (D), NiSource Inc. (NI), and Atmos Energy Corp. (ATO), have outpaced other S&P 500 sectors on a one-month basis. The sector's reliable income stream from dividends makes it attractive during market volatility. Meanwhile, energy investments, driven by cost efficiencies and merger and acquisition deals, have lagged most others on both a three-month and one-month basis. However, continued economic strength and geopolitical concerns could lead to higher prices in this sector.




Consumer staples investments, such as Walmart Inc. (WMT), have joined other tried-and-true dividend sectors as a top performer in the past three months. Real estate investments, particularly dividend-paying real estate investment trusts (REITs), have been performing well, with the Vanguard Real Estate ETF (VNQ) up around 10% year-to-date as of August 2024. Technology stocks, particularly the "Magnificent Seven" (Amazon, Alphabet, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla), have been leading the rally in the U.S. market.




Dividend stocks, such as the S&P 500 Dividend Aristocrats Index, have been performing well, with a year-to-date return of around 12% as of August 2024. Emerging-market stocks, while facing obstacles such as a strengthening dollar and lackluster growth in China, could see stronger recovery in the second half as lower rates and a weakening U.S. dollar could prompt inflows. Gold prices have been influenced by several economic and geopolitical factors, making it an attractive investment option during uncertain times. High-quality bonds, such as government bonds and investment-grade debt, have been a good investment option for income investors, with yields reaching 6% in 2024.

In conclusion, the performance of investments varied across different asset classes in the first half of 2024. Utilities, consumer staples, real estate, and dividend stocks performed well, while energy and emerging-market stocks lagged. Technology stocks have been leading the rally, but there are concerns about high valuations and market concentration. Gold and high-quality bonds have been attractive options for investors seeking safety and income. As we look ahead to the second half of 2024, investors should continue to monitor the performance of these sectors and asset classes and make informed decisions based on their individual investment goals and risk tolerance.