While many have argued that stocks are over-valued based on market cap to GDP, Tobin's Q, Shillers PE etc. one respected firm sees strong equity returns ahead.
Developed market investors can expect a return of 6.5% per annum over the next five years in a base case scenario according to a new report out from Robeco, the Investment Engineers published this month.
Dividend Income Accounts For 60% Of Equity Returns
Equity Returns Of 6.5% Per Annum Over the Next Five Years Are Expected
According to the report, which strikes a more upbeat tone than last year’s issue which predicted returns of 5.5% per annum for developed equities over the next five years, the current level of pessimism shrouding investors...

