But I think the better way to do this analysis is to determine the break -
even market return, and then ask the question: do I think the market will return more over the time period?
Not exact matches
Even after a
return to (low) growth, Yahoo will continue losing share of the worldwide search
market as other players — including Google, Baidu, Microsoft and Sohu — grow their search ad businesses more quickly,» the
market research firm reported Monday.
To make the test
even more stressful, he couples that spending model with weak
market returns.
After all, the former economics professor who is now president of the Hussman Investment Trust has made a name for himself by repeatedly predicting a stock
market decline exceeding 60 % and forecasting a full decade of negative equity
returns — and yet here we sit just 9 % from record highs,
even after some bouts of heavy selling.
Still,
even if you take out the Obama Trauma, in which the stock
market fell nearly 13 % following the current president's election in 2008 — and, to be fair, the country was in the middle of a financial panic — the average
return in a month following the election is 0.4 %.
Market strategists and portfolio managers maintain that folks should look past those lofty valuations and focus on what counts: A powerful, steady forward march in profits that should deliver near double - digit
returns, or
even better, for years to come.
Dividends included, Scotiabank shares have
returned an annualized 13 % over that time,
even accounting for the 2008
market crash.
«As a long - term value investor, we remain cautious and recognise that to generate good real
returns over time, we have to be prepared for periods of underperformance relative to the
market indices, some
even for a stretch of several years.»
However, it is very plausible that in recent years, firms are more pressured to
return cash back to investors who are aware of the
market's positive reaction to buyback announcements and want to earn
even higher
returns after experiencing positive
returns as Carl Icahn pressed Apple to buyback more shares.
Companies that have aggressive accounting where management is pulling the wool over investors» eyes and artificially propping up their stock price can lead to solid
returns,
even in a bull
market.
While Bond King Bill Gross, founder of world's largest bond fund PIMCO, is going deep into California and New York munis, claiming the
returns are still the best in the
market despite the headline risk,
even the discussion of bankruptcy as a bargaining chip has caused some to fear bond
market hysteria.
It's rare for any stock to see a 188 %
return in a year, but it's
even less common to see that same stock obliterate
market returns for a second year in a row.
Even though the traditional auto industry had endured its own near - death experience during the financial crisis, by 2010 General Motors had staged its own IPO,
returning to the public
markets after a government bailout and bankruptcy.
Commercial real estate in Calgary was at the top of its
market cycle between 2005 and 2008, but
even then Concrete routinely raised more money than the buildings actually cost and failed to
return the difference to investors.
Even as derivatives trading may demonstrate a certain sophistication among millennial traders, it could also reflect their outsized stomach for risk, since they have a longer runway to earn
returns from the
market.
«Most [purchasers] are
returning to Vancouver as the
market is hot
even with the foreign buyer tax,» according to Parham Mahboubi, vice-president of planning and
marketing at Qualex - Landmark, a real estate development group in Vancouver.
The
return on investment for email
marketing is significant
even at non-holiday times, so it should be seen as a low - hanging - fruit delivery system for Black Friday and Cyber Monday.
So, the price
return on this investment —
even though the person started at a peak, just before the
market started to go downhill and
even with the recent
market volatility — is $ 2,066.62.
Wireless carriers today are willing to help MVNOs with their customer service, billing, device procurement and
even marketing in
return for the additional customers they bring to the operator.
For better or worse, we're still in a world in which
market returns are heavily influenced by what central banks are doing, saying and
even thinking.
While this has been good news,
even amid the positive
returns it is worth taking a look at one of the unintended consequences of a
market rally — the rise in stock prices may have added unintended risk to your portfolio.
But too often, teams react by doubling down on the current go - to -
market mix through increased sales hiring or bigger
marketing expenditure
even as the incremental sales head or the new
marketing spend
returns increasingly disappointing results.
Even if we don't see outsized price increases in commodities, from a total
return perspective, commodity
returns will benefit from a change to positive roll yields based on the reshaping and structuring of the fundamental
market in commodities.
of course, at that point,
even average public
market returns will be more than sufficient to meet my needs and have a little fun.
As we've noted previously, MarketCap / GVA has a correlation of about 92 % with actual subsequent 10 - year S&P 500 total
returns,
even in recent
market cycles.
Over the past five years,
even in years in which
markets have been in negative territory, we've protected capital and generated reasonable
returns.
We simply knew that the expectations baked into the
market's valuation were so pessimistic that
even if the company's profits significantly declined, as they did, investors could still earn healthy
returns.
Even a large - scale
market weakness from here is likely to have a fairly muted impact on our
returns.
[6]
Even though the tax cuts generally weren't in Wall Street earnings forecasts last year, prospects for tax cuts probably were an important driver of 2017's stock
market returns.
To the extent that lower Treasury yields are
even weakly associated with higher equity valuations, recognize that this effect is also expressed over time as lower subsequent stock
market returns.
Since 1999 the US financial world has had two 30 % + drops in the stock
market (the «risk») and for those who did not panic and sell, a subsequent
market recovery has generated an 8 % annualized
return on equities
even including the two spectacular drops.
Unfortunately,
even taking these spikes into account, the indicator has zero statistical correlation with
market returns over the following year.
Now factor in that it's incredibly difficult to be successful as an enterprising investor: most active fund managers (generally about 60 %) can't
even beat the overall
market's
return.
We find that in
market cycles across history, this new measure is better correlated (92 %) with actual subsequent S&P 500 nominal total
returns than
even the S&P 500 price / revenue ratio and
market capitalization / nominal GDP.
Despite the variability in short - term outcomes, and
even the tendency for the
market to advance by several percent after the syndrome emerges, the overall implications are clearly negative on the basis of average
return / risk outcomes.»
We've put together a list of ten stocks that could continue to earn strong
returns even if the
market turns bearish.
If you were a taxable investor, the muni
market return may have been
even better after factoring in the potentially favorable treatment on income.
Even with volatility having
returned to the
markets, insider buying of stocks remains strong of late, particularly among certain energy players.
To get a sense of what's at stake when you pull out of the
market,
even temporarily, during a bear
market, the Schwab Center for Financial Research compared the
returns from four hypothetical portfolios:
Even if Oclaro faces more competition from domestic Chinese suppliers in the future, it should
return to growth in that
market before too long.
Not in the manner of Ponzi schemes, but by the
even more devilish leaky faucet in which a significant portion of the
returns of the capital
markets are diverted away from Main Street investors and into the arms of Wall Street and the insurance companies.
In order to drive the long - term
return on stocks
even 1 % higher, the
market would have to plunge over 40 % (this would drive the yield on stocks from the current 1.4 % to 2.4 %).
Equities are essentially 50 - year duration investments at current valuations, and
even if investors are passive and don't hold any view about future
market returns at all, one of the basic principles of financial planning is to align the duration of ones assets with the expected horizon over which the funds are expected to be spent.
They may not earn a high
return going forward and may
even lose some in the next bear
market, but I believe the psychology of holding bonds will stop some people from doing the wrong thing at the wrong time.
Even measured against this bull
market's impressive results, technology stocks have been excellent investments, outpacing the 19.4 percent annualized
return of Standard and Poor's 500 - stock index by four percentage points per year, on average, since...
With a combination of these diversified strategies, a flexible active approach aims to find fixed income
return opportunities in all corners of the
market,
even during times of greater volatility or rising interest rates.
Sequence risk is by far the biggest risk early retirees face, and that risk can come from
market crashes, long - term mediocre
returns and
even rising health care costs.
Investors with more flexible disciplines should observe that across history,
market collapses have produced upward spikes in expected
returns, so we certainly expect investors to encounter strong investment opportunities
even in the next few years.
Indeed,
even Robert Shiller's cyclically - adjusted P / E (CAPE) is much better correlated with actual subsequent
market returns, across a century of
market cycles, when we account for the profit margin embedded in the 10 - year average of earnings.
But while investors might like to believe otherwise, stock
market returns over short horizons are actually very weakly related to earnings growth, interest rates, and
even economic conditions.