Projections validation
EV asset class projections come from an academically backed and time-tested model that has been calibrated using empirical data and has a long track record of forecasting investment returns with enviable accuracy, as demonstrated below.
Yield curve
The yield curve is a crucial indicator of the location of future returns, and the EV Asset Model projections have captured the full range of realised interest rates, including the low rate environment that has persisted post-GFC, satisfactorily:
UK 15 year nominal rate
Risk Assets
The success of our projections is also seen in what the model has said for risk-bearing assets like equities:
UK Equity
Multi-economy
Being consistently multi-economy and multi-currency, our model provides consistent global views of all asset classes modelled. For example, US equity behaviour is also captured well:
US Equity
Multi-currency
Credible forecasting of fund returns for overseas asset classes in GBP terms, say, is also praise for the EV Asset Model currency capabilities:
Japanese Equity