Low inflation makes the return environment for both stocks
and bonds less hopeful even when the economy is in fine shape.
And recessions—yes, there will be more—will undermine corporate
earnings and stock returns even more, while lowering the
yield on all types of bonds. Smaller personal portfolios, savaged
in the bear market that began in 2000, mean returns have to be
higher. And the tampering that is going on with promised corporate
pension benefits means there is less of a cushion for millions
of investors.
and bonds less hopeful even when the economy is in fine shape.
And recessions—yes, there will be more—will undermine corporate
earnings and stock returns even more, while lowering the
yield on all types of bonds. Smaller personal portfolios, savaged
in the bear market that began in 2000, mean returns have to be
higher. And the tampering that is going on with promised corporate
pension benefits means there is less of a cushion for millions
of investors.
No comments:
Post a Comment