Risk Premium
Yves Lamoureux' Observations On Negative Risk Premium And Return Assumptions
Submitted by Tyler Durden on 10/01/2009 11:06 -0500"In reference to behavior, it’s become clear that investors attitude are changing and the new normal is not to invest one’s savings in stocks rather that money is flowing to bonds. Recent data points to exactly this type of behavior and perhaps getting trounced once is enough for a certain legion of investors but not all. As we had seen in 2000 in every drop of stocks, we are slowly loosing participants to join in this exuberant party. Investors who miss out this time are also assured of not feeling any party hangover." Yves Lamoureux
