12. Top-Down Basics—Looking for Investment Themes Between Markets

Market Comparisons—Returns

Comparing the returns of various asset classes is one of the most common items to look at across markets. The comparisons are usually run on a total return basis over a comparable period of time.

As you compare returns over time, you should take particular note of patterns through various cycles—perhaps highlighting how different asset classes reacted during specific economic periods.

Comparison of asset classes is valuable for several types of end users. An investor or asset allocator who can invest across some of these different asset classes would want to use this information to compare the relationships in the performance of various asset classes ...

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