DOW 43,000

摘要

Good news for risk-tolerant savers putting money aside for 20 years: Stocks will do fairly well. My year 2036 targets are 43,000 for the Dow Jones average and 5,000 for the S&P. Bad news: This forecast implies returns considerably below the historical average. If your retirement plan assumes a continuation of past trends, boost your savings rate. U.S. stocks have delivered a real return-price gains plus dividends minus inflation-of 6.5% a year over the past century, and even more in recent decades. That has made possible some very comfortable lifestyles for people now retired.