Episode 22: Ed McQuarrie on the importance of 19th c data for your 2022 asset allocation‪.‬ Keep Calm and Carry On Investing (TM)

Consider the shibboleths of our trade, deeply embedded in our risk models, our IPSs, our return expectations: stocks are better than bonds over time, stocks are risk assets, bonds are risk-control assets, a resulting equity risk premium, with real growth from equities.  What if it turns out that these are not exactly true? What if these conclusions are based on incomplete data? That would be a problem, wouldn’t it?  And what about the present time, what’s unusual about it compared to earlier investment periods? These answers and more when  Edward McQuarrie, retired business professor from Santa Clara University, joins me …