What I have been reading - 11th November 2019

What returns should investors expect from private equity: Institutional investors widely expect PE to outperform public equity by 2-3% per annum. Is this likely? Not according to this author.

Does our obsession with property make financial sense?: If you know me, you know what I think about this! This article compares the long-term returns of property versus stocks, and asks the question, 'why is it that people think that property investments are so much better than stocks?'

US rate of gray divorce has doubled since the 90s: Gray divorce is defined as divorce after age 50 (I am sure they could have come up with a better term). There are obvious emotional impacts, but the financial impact is often under-appreciated, particularly for women. Wealth is halved in a divorce, but more worrying is the impact on income for women. One study showed that when women divorce after age 50, standard of living plunges 45%. The figure for men is 21%. And it's hard to bounce back.

It's about time in the market, not market timing: There are some good graphics and animations in this article. If you have money to invest, the day to invest it was yesterday. Always (ok, almost always).

America's decade: The US and Europe had exactly the same returns for three decades. And then over the last decade, returns diverged wildly with Europe under-performing. No one knows if this will be reversed (though it seems likely) or when, but that's why we diversify. It's why all Liberty clients own some European equities today.

FINALLY:
It's November!: A friend shared this with me after I said 'I can't believe it's November'. Michael McIntryre is brilliant - so clever. You can't fail to laugh at this.

ENJOY!

Georgie

georgie@libertywealth.ky