Category: Unpredictability
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“The norm is not the average”
S&P 500 PE ratio above 23 historically resulted in 2-2% annualized returns over 10 years, with current PE ratio at 24, indicating low expected returns for the next decade.Oaktree Capital has consistently invested in high-yield bonds for 47 years, achieving 7-8% yields comparable to 10% S&P 500 returns, but taxes reduce after-tax returns to 4-7%.…
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“I don’t think it’s time to get out…
…It’s a matter of relative choices.” “No. 1, what’s going to happen? Nobody knows. His appointments are not firm, they have yet to be confirmed. his policies are not known. What is he going to do? Nobody really knows what he’s going to do? No. 2, What else will be going on in the world.…