What Will You Earn From Your Stocks And Bonds?

If you expect fabulous returns to continue, you’re likely to be disappointed. Look closely at the data and you’ll see why.

_{By William Baldwin, Forbes Staff}

Emerging market stocks will beat U.S. stocks. Junk bonds will beat high-grade bonds. Inflation will be 2.5%.

Prognostications from the market seers. Big financial institutions put out what they call capital market assumptions. The experts are in close agreement about some things, such as the points about emerging markets, junk and inflation. They are all over the map on what you can expect from the richly priced U.S. stock market but in agreement that returns there will be rather less than what you’re used to.