All investors know that risk and return are related – taking on more (sensible) risk should provide higher returns, over time. Yet there are no guarantees. Advisers will often talk about target or expected returns from portfolios needed to deliver the financial goals of the client. Where do they come from and how can they be used sensibly?
This Valume of Acuity explores how returns can reasonably be estimated and why it is not, and never will be, an exact science.