2017-03-09 05:32:00 Thu ET
stock market gold oil stock return s&p 500 asset market stabilization asset price fluctuations stocks bonds currencies commodities funds term spreads credit spreads fair value spreads asset investments

From 1927 to 2017, the U.S. stock market has delivered a hefty average return of about 11% per annum. The U.S. average stock market return is high in stark contrast to the average returns on bonds, currencies, mutual funds, exchange funds, warrants, and commodities such as gold, silver, oil, and wheat.
Behavioral economists such as Nobel Laureate Richard Thaler have coined this macrofinancial anomaly *the equity premium puzzle*.
This equity premium puzzle suggests that the U.S. double-digit performance is too high to reasonably reflect the typical investor's relative risk aversion in light of low consumption growth.
While many scholars strive to resolve this equity premium puzzle with complex math models, some recent evidence suggests that the American stock market experience proves to be the exception that defies the rule of thumb.
In other words, the American stock market stands out of the international crowd in terms of long-term average aggregate performance.
Positive U.S. investor sentiment highlights the long-term outperformance of the U.S. stock market relative to many other asset classes.
U.S. stocks remain the primary investment vehicle for most global institutional investors and North American retail investors.
Information technology usage, diffusion, and proliferation have spurred the U.S. spectacular stock market vibrancy over the past few decades.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2020-08-01 07:28:00 Saturday ET

Technological advances, geopolitical risks, and pandemic outbreaks cannot shake investor confidence in the American dollar as the global reserve currency.
2017-07-19 11:35:00 Wednesday ET

This brief article encapsulates the timeless wisdom of Warren Buffett's famous quotes on fundamental stock investment, fear and greed, patience, risk co
2020-09-24 10:26:00 Thursday ET

Edge strategies help business leaders improve core products and services in a more cost-effective and less risky way. Alan Lewis and Dan McKone (2016)
2018-10-05 10:38:00 Friday ET

A 7-year $1.3 billion hedge fund manager Chelsea Brennan shares her investment advice. Her advice encompasses several steps toward better financial literacy
2023-03-14 16:43:00 Tuesday ET

Several feasible near-term reforms can substantially narrow the scope for global tax avoidance by closing information loopholes. Thomas Pogge and Krishen
2022-11-30 09:26:00 Wednesday ET

Climate change and ESG woke capitalism In recent times, the Biden administration has signed into law a $375 billion program to better balance the economi