I’ve posted Entry #94 to my weekly Beyond Buy-and-Hold column at the Out of Your Rut site. It’s titled Obtaining Low Returns on Your Non-Stock Asset Classes Won’t Do You Too Much Long-Term Harm.
Juicy Excerpt: First, you need to ask yourself why it is that the returns provided by non-stock investment classes has dropped so hard. Entities trying to interest investors in non-stock asset classes had to make an incredible offer to entice them back in the late 1990s and early 2000s. Stocks were so popular that it took returns of 4 percent real or close to it to persuade people to part with their stocks. That isn’t the case today. Lots of people are looking for an alternative to stocks today. We are seeing the law of supply and demand at work. It is not reasonable to expect to see the same sorts of returns on non-stock asset classes that were available in early days. It does not follow that the deals available are not worth snapping up.