(Originally written on August 13, 2012)
Is the “cult of equity” dying?
Since 1912, stocks have returned on average 6.6 percent per year after inflation, according to Bill Gross, the legendary bond manager from PIMCO. Recently, Gross ruffled some feathers when he wrote that the historic 6.6 percent return “is an historical freak, a mutation likely never to be seen again as far as we mortals are concerned.”
Is Gross right?
Well, his chief critic, Wharton professor Jeremy Siegel, emphatically says no.
So, who’s right, Gross or Siegel? Subscribe to our newsletter and find out!