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Estimating Future Stock Returns, December 2016 Update

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What a difference a quarter makes!  As I said one quarter ago:Are you ready to earn 6%/year until 9/30/2026?  The data from the Federal Reserve comes out with some delay.  If I had it instantly at the close of the third quarter, I would have said 6.37% — but with the run-up in prices since then, the returns decline to 6.01%/year.So now I say:Are you ready to earn 5%/year until 12/31/2026?  The data from the … Read entire story.

Source: The Aleph Blog

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