The stock market will not continue to return the type of annual gains investors have become accustomed to since the financial crisis hit the bottom in 2009, said Vanguard Investment Director Greg Davis.
Davis sees earnings growth slowing down somewhere in the single digits this year, after the much stronger rate of the last year. economy, which is coming out of a 3% growth rate forecast for 2018, Davis sees US gross domestic product increase by about 2% this year
With yields on the stock market slowing down while earnings and economic growth are cooling down, Davis said that Americans will need to save more and save longer.
Vanguard, the giant of mutual funds founded in Valley Forge, Pennsylvania, in 1975, has approximately 5.3 trillion dollars in global assets under management ion, September 30th, 2018.