Gross sees 5% return for equity investors

09/30/2009 | Bloomberg

Bill Gross, manager of Pacific Investment Management Co.'s bond fund, said investors should expect 5% annual returns from equities. The reduced returns, he said, can be attributed to slower growth because of increased savings and less spending by consumers. "Nominal GDP is the growth rate of wealth on an annual basis. The new normal is 2% to 3% GDP and real growth of 1% to 2%," he said.

View Full Article in:

Bloomberg

Published in Brief: