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Content on this website is intended only for institutional or professional investors and is for informational purposes only. It does not constitute investment advice, a recommendation, or an offer to sell or solicit any security.

Capital market assumptions: estimating long-term returns

L&G

How should investors go about setting long-term return estimates across different asset classes?
Our CAMERA (Capital Market Expected Return Assumptions), which we introduced previously and updated recently, brings together our valuations-based medium-term asset-class return expectations and our long-term risk-based equilibrium model. In this blog we reach for the binoculars and focus on our long-term model. We outline different potential ways to go about setting long-term returns and explain the approach we settled on.

L&G

Monday 10th June 2024

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