Sentences with phrase «market return over the long term»

My point is simply that it's very likely that if you are moving money in and out of stocks based on volatility, you're much less likely to get the full market return over the long term, and might be better off putting more weight in asset classes with lower volatility.

In its filing, the company stated that the real estate market is at the beginning of a recovery and the company is well - positioned to benefit as the market returns over the long term.

Not exact matches

«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.»

Over the long - term the stock market has earned a better return than investing in bonds.

Cash alternatives, such as money market funds, typically offer lower rates of return than longer - term equity or fixed - income securities and may not keep pace with inflation over extended periods of time.

EMH proponents argue that events like those dealt with in behavioral finance are just short - term anomalies, or chance results, and that over the long term these anomalies disappear with a return to market efficiency.

Although supply has returned to the market over the short term — due to a combination of increased production from US shale producers and the easy availability of capital via debt and equity markets — I'm expecting supply growth to moderate over the long term as capital becomes more expensive and less available to marginal energy producers.

It aims to deliver these returns with a lower level of volatility than the broader Australian stock market over the medium to long term.

From record - breaking stock market returns to falling unemployment, the U.S. has no shortage of positive economic indicators, and the majority of investors say they feel confident about achieving both their short - and long - term goals, according to the latest «Morgan Stanley Investor Pulse Poll,» which surveyed more than 1,200 investors age 25 to 75 with over $ 100,000 in assets.

While valuations drive long - term returns, the primary driver of market returns over shorter portions of the market cycle is the attitude of investors toward risk, as indicated by the uniformity or divergence of market internals.

Furthermore, it seeks to achieve these returns with a lower level of volatility than the broader Australian stock market over the medium to long term in order to smooth returns for investors.

The essential thing to understand about valuations is that while they are highly reliable measures of prospective long - term market returns (particularly over 10 - 12 year horizons), and of potential downside risk over the completion of any market cycle, valuations are also nearly useless over shorter segments of the market cycle.

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 %).

Valuations are the primary driver of long - term returns, and the risk - preferences of investors — as conveyed by the uniformity or divergence of market action across a broad range of individual stocks, industries, sectors and security types (including credit)-- drive returns over shorter portions of the market cycle.

While long - term market returns are driven almost exclusively by valuations, investment returns over shorter segments of the market cycle are highly dependent on investor psychology, particularly the inclination of investors toward speculation or risk - aversion.

Estimates of prospective long - term returns for the S&P 500 reflect our standard valuation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle (see for example Investment, Speculation, Valuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating Earreturns for the S&P 500 reflect our standard valuation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle (see for example Investment, Speculation, Valuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating Earnmarket prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle (see for example Investment, Speculation, Valuation, and Tinker Bell, The Likely Range of Market Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating EarnMarket Returns in the Coming Decade and Valuing the S&P 500 Using Forward Operating EarReturns in the Coming Decade and Valuing the S&P 500 Using Forward Operating Earnings).

Put simply, valuations have enormous implications for long - term investment returns, and for prospective market losses (or gains) over the completion of any market cycle, especially those that feature historically extreme valuation peaks (or troughs).

We can further confirm the conclusion of «stocks over bonds» for investing in most inflation periods by looking at the real returns of long - term treasury bonds versus the total U.S. stock market starting at the unprecedented and long - lived bond bull market starting in 1982.

Since the inception of the Fund (as well, of course, in long - term historical tests), our present approach to risk management has both added to returns and reduced volatility - not necessarily in any short period, but over the complete market cycle.

Has Modern Portfolio Theory failed to deliver over the past decade because users employ long - term averages for expected returns, volatilities and correlations that do not respond to changing market environments?

While no one can predict the market's exact ups and downs, investors have the potential to boost their investment returns over the long term if they can identify sectors or stocks that are undervalued or overvalued.

The truth is that dividends aren't just a component of the market's total return over the long term; they're the main component.

Investing may earn you more based on oft - quoted long term averages but, consider this, if the market tanks by 50 % in one year, it would take over 7 years of so called «average stock market returns of 10 %» to return to the same position you were in just prior to the loss, and that is not even factoring in inflation.

As such, we encourage the Committee to also devote time and attention to several issues that will help ensure the long - term stability of the individual market, including: Section 1332 waivers under the ACA; long - term stability funding; limiting third - party premium payments; and returning to the states more regulatory authority over the individual and small group markets.

In any event, the upshot is that by adhering to a stock selection and hedging approach that has achieved strong returns with reasonable risk over the long - term, my efforts have achieved abysmally low returns in a rallying market over the short - term.

However, the combination of smart capital management and a uniquely diverse product portfolio (spanning medical device sales, pharmaceuticals, and consumer products) has ensured that the healthcare titan's returns trounced the broader market over the long term.

Through volatile markets it's important to take a long - term perspective and remember that market returns are driven by economic and earnings growth over time, and both appear positive, in our view.

Put simply, valuation drives long - term returns, and investor risk - preferences drive returns over shorter portions of the market cycle.

There's no way you can avoid risk in the financial markets if you hope to beat inflation over the long - term and earn a respectable return on your portfolio.

Longer - term, the market's rich valuations on a variety of internals is already enough to anticipate fairly unsatisfactory returns for buy - and - hold investors in the major indices over the coming 5 - 7 years.

The 2008 Best of the Hot List includes articles about why stocks have consistently been the best way to build wealth over the long - run, why fear can present opportunities for long - term investors, and the market's returns under Democratic presidents.

On the basis of valuation measures most tightly related to actual subsequent long - term market returns, we also estimate that the S&P 500 is likely to be lower 12 years from now, compared with current levels, though dividend income may push the total return just over zero on that horizon.

The State Street Global Equity ex-U.S. Index Fund (the «Fund») seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of a broad - based index of world (ex-U.S.) equity markets over the long term.

Looking back through history, whenever value stocks have gotten this cheap, subsequent long - term returns have generally been strong.3 From current depressed valuation levels, value stocks have in the past, on average, doubled over the next five years.4 Not that we necessarily expect returns of this magnitude this time around, but based on the data and our six decades of experience investing through various market cycles, we believe the current risk / reward proposition is heavily skewed in favor of long - term value investors.

Many people tout the virtues of stock investing, especially because history shows that the stock market has provided one of the greatest sources of long - term wealth, with compounded returns averaging 10 percent per year over the past 100 years.

Estimates of prospective long - term returns for the S&P 500 reflect our standard valuation methodology, focusing on the relationship between current market prices and earnings, dividends and other fundamentals, adjusted for variability over the economic cycle.

The central message of our discipline is that valuations are enormously informative about prospects for long - term and full - cycle returns, but that outcomes over shorter segments of the market cycle are driven by changes in the psychological preferences of investors toward speculation or risk - aversion.

To ensure all the Members at Paul Asset can earn above average market - beating return consistently over the next few decades for long term wealth creation.

Rising stock markets — the S&P 500 has tripled since reaching a low in March 2009 and over the last 10 years, the largest public pension plans have earned an average return of 7.45 percent, broadly in line with the median long - term goal of 8 percent — have boosted pension plan coffers to the highest level of assets they've ever had.

The Maximiser funds invest in the stock - market to provide income because this has the potential to deliver attractive returns over the long - term.

However, with rigorous research you can still find individual stocks that are undervalued, leading to market - beating returns over the long term.

Investments that provide some level of bear market protection can drastically impact investment returns over the long term.

The biggest driver of long - term investment returns is not an investor's skill but the overall market returns over the period.

Their research found that dividend - paying stocks tend to beat the market over the long term and lead to far better returns than stocks that don't pay dividends.

The fund has delivered strong performance over a long term and has also returned positive absolute returns since inception barring 2008 when the market was going through turmoil.

Fund managers aim to do this by a significant margin over the long - term and aim to deliver returns with less volatility (risk) than the broader UK equity market.

Seeks to generate strong relative returns over a long - term time horizon by investing in companies across the market cap spectrum with strong and / or improving financial productivity at attractive valuations.

In the next post of this series, we will show the actual outperformance of the S&P SmallCap 600 versus the Russell 2000 over the long term, the higher returns and lower risk over different time periods, and through different bull and bear market cycles.

Housing markets go up and down, but on average, over the long term, they go up just enough to keep up with inflation, meaning a 0 % real return.

The basic idea is to invest enough in stocks to generate the returns you'll need over the long term to build an adequate nest egg but also enough in bonds to provide short - term downside protection during market routs.