If I buy blue-chip stocks, I earn a dividend yield of 2.5% or 3%. In some cases more, in some cases a little bit less. But over a 10-year period, I think that the stocks are going to be a better investment than the bonds market.
Now, on the other hand, if I look at the US 10-year government bond yield, it’s 2.2% today. In France it is less than 1%. So I’m saying to myself, “Well, maybe government bond yields are reasonably effective,” and everybody is bearish about bonds.
But as I said, I don’t know. I’m just saying, in absence of knowing, the best the investor can do is to say to himself, “Central banks have created a low-return environment, a low-return and high-risk environment, I may say, and in this low-return, high-risk environment, the best strategy’s probably to be diversified." I mean, I’m happy if, in the next five years, I don’t lose any money. I’m not greedy and want to earn any money. I prefer not to lose any.
