VNQ - Total Return Forecasts: Major Asset Classes - June 4 2024

2024-06-04 09:40:00 ET

Summary

• The performance outlook for the Global Market Index ticked higher again in May.
• In line with recent history, US equities remain the outlier for expected return among the various asset classes that comprise GMI.
• GMI’s history suggests that this passive benchmark’s performance is competitive with most active asset-allocation strategies, especially after adjusting for risk, trading costs and taxes.

The performance outlook for the Global Market Index (GMI) ticked higher again in May. For the fourth straight month, GMI’s long-term forecast edged up, rising to an annualized 7.1% pace, which is fractionally above the estimate in the previous month, based on the average of three models (defined below). GMI is an unmanaged benchmark that holds all the major asset classes (except cash), according to market weights via a set of ETF proxies....

For further details see: