GOLDMAN SACHS: GLOBAL STOCKS TO RETURN 7.7% ANNUALLY OVER THE NEXT DECADE Goldman Sachs expects global equities to deliver average annual returns of 7.7% in USD over the next 10 years, close to historical norms despite high valuations. Analyst Peter Oppenheimer said returns will be driven mainly by earnings growth (~6% a year), with dividends adding modestly as valuations ease. Regional forecasts vary: ❖ U.S.: 6.5%, led by earnings and dividends ❖ Europe: 7.1%, evenly split between earnings and payouts ❖ Japan: 8.2%, supported by profit growth and policy reforms ❖ Asia ex-Japan: 10.3%, from strong EPS and yields ❖ Emerging Markets: 10.9%, driven by China and India Goldman recommends diversifying beyond the U.S., favoring Emerging Markets and noting that a weaker dollar could further boost non-U.S. returns.(*Walter Bloomberg)