Daily Archives: August 10, 2012

James Mackintosh

Short View explored the lost-half decade and the returns on leading asset classes since the credit crunch began on August 9, 2007 (including the surprise that high-yield bonds did so well).

Deutsche Bank has produced a more comprehensive look across pretty much all tradeable assets, adjusted (in line with the Short View approach) into dollar terms to remove currency changes.

Asset returns

Asset returns since credit crunch began, in dollar terms

Given the attention that is paid to nominal (local currency) returns, I thought it might be worth an explanation of why it makes sense to look in constant currency terms.