Economy

SP500 to return 5% per year in next decade

So says John Hussman. First, if you don’t know who Hussman is, I recommend that you get to know him. Hussman is a mutual fund manager who runs the Hussman Funds. He is a value oriented manager but also focuses heavily on managing risk, i.e capital preservation in bad market environments. But Hussman is also an economist, an insightful one…

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Economy

Stock vs Bond Risk: a different perspective

If you’ve been keeping up with the market and investment news you probably couldn’t help but notice all the commentary about the possible bond market bubble. See here for an example. The Siegel article in the WSJ is probably the most high profile piece on this topic yet. The argument is basically that government bond yields are so low they…

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Economy

Thoughts on investment outlook

I mentioned in a previous post on my macro investment outlook of another lost decade for stocks, i.e. that 10 yrs from now the S&P 500 would be at the same level it is today. This investment outlook is based on my thoughts for overall economic growth, which drives profit growth and thus stock returns, over the long run, combined…

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