Courtesy of Mish.
Here is a chart from GMO Asset Forecasts that expresses how I feel as well.
7-Year Global Real Return Equity Forecasts
click on chart for sharper image
Value and growth within large and small stocks, and REITs, as of March 31, 2014
Estimated returns are negative for US large caps, US small caps, and REITs for every period shorter than seven years.
If accurate (and I believe it is), what will that do to pension plans? For further discussion, please see LA Commission Studies Pension Crisis, Recommends New Commission; Bankruptcy Inevitable.
For a followup, also see Reader Question on the Inevitable Los Angeles Bankruptcy; What About Chicago?
Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com
