Tag: retirement investments
I recently had lunch with my friend Zvi Bodie, a pretty famous financial economist. He loves inflation-indexed investments. This time he was particularly enthusiastic about Series I Savings Bonds as a way to save not only for retirement, but also for emergencies. Policymakers have become increasingly convinced that having some precautionary savings is essential to…
The brief’s key findings are: Stocks have diverged from historic averages for periods of 10 to 20 years. This divergence reflects fluctuations in: 1) corporate earnings; and 2) investors’ assessments of those earnings. Corporate earnings vary, but tend to stabilize and return to long-term economic trends within a few years. In contrast, investors’ valuations hav…