AQR Quants Gaze Into Crystal Ball, See ‘Soberingly Low’ Returns
- 60/40 portfolio to earn 2.9% real return, according to report
- Cheaper stock prices partially offset by lower growth forecast
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If the wizards at AQR Capital Management LLC are right, on the current trajectory the next few years will be a struggle for investors seeking the kind of returns they enjoyed in the “rosier past.”
The $196 billion quantitative hedge fund this week updated its assumptions for major asset classes, and at first glance the outlook has brightened somewhat: