So what did the S&P500 do from 1946-1965 and 1966-1981 (yahoo's historical quotes don't go back that far)? How would someone who was 50/50 stocks/bonds have fared? Is this data telling us that all bonds should've been avoided, or that long-term bonds took a bath?
By real returns, you mean these numbers are after inflation (not to be confused with total return)?
Closer to home, what would've happened to a fund like VFIIX (vanguard GNMA, high-quality, duation of 2.9 years)? I believe that mortgage backed securities didn't exist back then...or VFICX (VG intermediate term investment grade bonds)?
By real returns, you mean these numbers are after inflation (not to be confused with total return)?
Closer to home, what would've happened to a fund like VFIIX (vanguard GNMA, high-quality, duation of 2.9 years)? I believe that mortgage backed securities didn't exist back then...or VFICX (VG intermediate term investment grade bonds)?
PERIODBOND REAL RETURNS1946-1965-1.2%1966-1981-4.2%1982-2001+8.5%1926-2001+2.2%