Created: Oct 25, 2010 11:00 AM
<I>Source:</I><I> Global Financial Data, Goetzmann, Ibbotson, O'Shaughnessy Asset Management</I>When current GDP growth [ 21.36 12.24 12.10Average for entire period 8.68 7.72 7.60<I>Source:</I><I> Global Financial Data, Goetzmann, Ibbotson, O'Shaughnessy Asset Management </I>
TABLE 1
Correlations
Forward Return
One-year Three-year Five-year
1900-1946 -0.09 0.01 -0.10
(annual data only)
1946-present -0.18 -0.09 -0.09
(quarterly data)
Source: Global Financial Data, Goetzmann, Ibbotson, O'Shaughnessy Asset Management
TABLE 2
Average Future Real Returns (%)
Forward
One-year Three-year Five-year
When current GDP growth [ 21.36 12.24 12.10
(For period 1946-2010)
Average for entire period 8.68 7.72 7.60
Source: Global Financial Data, Goetzmann, Ibbotson, O'Shaughnessy Asset Management
