Morningstar Survey Results for Long-Term Stock and Bond Returns

A recent Morningstar article outlined the intermediate-term (10-year) market return assumptions of a group of industry leaders that responded to a recent survey: John Bogle, founder of Vanguard: 4% stock return, 3% bond return over the next 10 years. Bogle asserts that “future returns from the major asset classes will be muted. GMO: -4.4% returns for U.S. large caps over next seven years; 2% real returns for emerging market equities. The firm, the article points… Read More

Jack Bogle Sees Rough Road for U.S. Pensions

In a Bloomberg Radio interview earlier this month, Vanguard Group founder Jack Bogle shared a pessimistic view on the future of U.S. pension funds. According to the Bloomberg account of the interview, Bogle believes that over the next decade a conservative portfolio of stocks and bonds will not be able to “meet their 7.5 percent or 8 percent obligations.” Instead, he argues, annual returns will be closer to 3 percent for bonds and 4 percent… Read More