FYI: — Everything's awesome for investors, but how much longer can it last?
Stocks, bonds and most everything in between have delivered strong returns the last seven-plus years, helping to inflate retirement nest eggs and college-savings funds. But don't expect a repeat, says Richard Turnill, global chief investment strategist at BlackRock, the world's largest asset manager.
Turnill forecasts big U.S. stocks over the next five years will return maybe a third of what they did over the last five years, for example. For bonds, simple math means he's anticipating long-term Treasurys to lose a modest amount over that time. Bond yields have sunk, hitting a record low this summer, limiting the income they pay out. And when, or if, interest rates rise from that low base, it will mean drops in their price. Turnill recently discussed his outlook for the markets. Answers have been edited for clarity and length.
Regards,
Ted
http://bigstory.ap.org/article/015ac10390a242dfbb146e4bdee26b0b/investment-qa-expect-less-most-everything
