MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Wednesday, August 21, 2013 Rekenthaler: Pay Attention to Jeremy Siegel Morningstar's John Rekenthaler sung the praises of Jeremy Siegel, author of "Stocks for the Long Run" and general stock market fortune teller. Rekethaler says Siegel is a good fortune teller at that, because Siegel usually gets his predictions right. In 1994, Siegel said that he expected stocks to beat inflation by 5 to 7 percentage points per year and the Wilshire 5000 has gained 6.6 percent per year over the past two decades, Rekenthaler writes. So why is Rekenthaler talking about Siegel now? He recently opined on the stock market in the Financial Times, arguing against the idea that the stock market has nowhere to go but down as profit ratios have reached record highs. Rekenthaler writes that Siegel's theory revolves around the idea that companies are different than they were in the past, as they have high-margin foreign profits, high margins from fat balance sheets and that there are more technology companies. At the end of the day Rekenthaler isn't 100 percent sure the theory is sound, but Siegel's record makes it an argument worth paying attention to. To read more, click here. Printed from: MFWire.com/story.asp?s=45644 Copyright 2013, InvestmentWires, Inc. All Rights Reserved |