Equity Risk Premium
Jan
08
2014
Exploring The Historical Relationship Between Stock And Bond Returns: An Update
We were surprised to see that all differentials ten years and longer are still below their respective 1926-to-date medians, indicating they still have the potential to keep moving towards historical median levels. We expect stocks to outperform bonds going forward.
Jul
05
2011
Risk Premium For Stocks Making A Comeback
The risk premium for stocks is making a comeback. Our quarterly examination of the stock/bond performance differential finds ten-year Treasuries are now the riskier asset class compared to equities.
Jan
05
2011
Risk Premium For Stocks Making A Comeback
History appears to be repeating itself as the risk premium for stocks is making a comeback. Ten-year Treasuries are now the riskier asset class compared to equities.