Historical
Returns

Most organizations are likely to invest over a long time horizon, but it is important to consider how asset categories can experience vastly different returns and volatility over time.

Use the interactive tool below to see the dramatic change in returns over different historical periods. You can filter for considerations that may be important for your organization, including:

• LIQUIDITY: We understand that every organization is different and that you may have unique constraints for your portfolio. Using the filters, you can select the liquidity option that best represents your organization. Note: the default is to show all liquidity options.
• HURDLE RATE: A hurdle rate is an organization’s spending rate plus consumer price index (CPI). The shaded area on the tool shows asset categories that would not have met your return goals.

Hold control to select multiple filter options.

DISCLOSURES
The Historical Market Returns Interactive Tool outputs are the result of hypothetical allocations constructed under various assumptions of various constraints and liquidity needs, and allocations may not be appropriate for all investment objectives. Given the complex risk‐reward trade‐offs involved, we advise clients to rely on judgment as well as quantitative optimization approaches in setting strategic allocations. Exclusive reliance on the interactive tool is not advised. This information is not intended as a recommendation to invest in any particular asset class or strategy or as a promise of future performance. Note that these asset class and strategy assumptions are passive only–they do not consider the impact of active management. References to historical returns are not promises or even estimates of actual returns a client’s portfolio may have achieved. Assumptions, opinions and estimates are provided for illustrative purposes only. They should not be relied upon as recommendations to buy or sell any securities, commodities, derivatives, or financial instruments of any kind. A manager’s ability to achieve similar outcomes is subject to risk factors over which the manager may have no or limited control.  Past performance of historical market returns of financial market trends is not indicative of future results and are subject to change without notice. Both past performance and yield may not be a reliable guide to future performance. One of the limitations of hypothetical allocation results is that they are generally prepared with the benefit of hindsight.

The Historical Market Returns shown are a hypothetical allocation of broad asset categories. The return is the result of a hypothetical allocation of investments represented solely by financial market data and underlying public indices. The allocation does not include or represent investments made in any specific security within each asset category. As such, the return of the underlying indices is by no means a projection of a proposed or actual portfolio or indicative of results achieved by any securities. Additionally, an investor cannot directly invest in any index. The asset allocation is constructed under the assumption of various constraints and liquidity needs, as such allocations may not be appropriate for all investment objectives. Expected returns are presented gross of any fees and expenses.