You'll want to download the PDF and then scroll to page 43 to see the charts. The previous pages are about methodology, I think, I scrolled past them to see the pretty pictures.
Interesting look at truly long term results from the US stock market and bond market. Back ot the 1850s. Also looks at when stocks and bonds lagged "the average" or performed poorly for decades.
I guess my question is: where else are you going to go to invest your savings? Maybe real estate (but it can be a lot of work), maybe cash (but you can lose a lot to inflation)?
Government pension or annuities can be an option, but then you're essentially giving up some upside and pushing the same decisions onto another person (though they have more options, since they have much more money).
Just another argument for a diversified portfolio, rebalanced regularly.
two trends have me highly concerned:
1) the baby boomers are now starting to retire in large numbers and they will go from investing and lending to consuming, selling stocks, etc.
2) population decline is a thing. many countries have already started the downward trend, and most of the world will be declining by 2050.
this puts a huge ? on all asset classes.
Some other points about stocks, their 10% returns was done by many studies that looked at performance between 1952 and 1999 (just after the great depression ended and just before the dotcom bust).
almost all asset classes over that 20 year period (1999-2019) out performed stocks, including gold and oil.
Interesting look at truly long term results from the US stock market and bond market. Back ot the 1850s. Also looks at when stocks and bonds lagged "the average" or performed poorly for decades.
I guess my question is: where else are you going to go to invest your savings? Maybe real estate (but it can be a lot of work), maybe cash (but you can lose a lot to inflation)?
Government pension or annuities can be an option, but then you're essentially giving up some upside and pushing the same decisions onto another person (though they have more options, since they have much more money).
Just another argument for a diversified portfolio, rebalanced regularly.