Search Results for: premium

Volatility (VIX) and the Equity Risk Premium This chart shows that the equity risk premium tends to move with credit spreads. Image: Fidelity Investments

S&P 500 Equity Risk Premium The equity risk premium has increased significantly, while the 10-year Treasury yield has fallen. Image: Morgan Stanley Research

P/E Premium High Growth vs. Low Valuation S&P 500 Firms P/E premium high growth vs. low valuation S&P 500 firms at highest since the internet bubble. Image: Goldman Sachs Global Investment Research

U.S. Monetary Policy, Term Premium and Yield Curve This chart suggests when U.S. monetary policy is too tight or too loose. An inverted yield curve is a sign that monetary policy is too tight. Image: Fidelity Investments

Info Tech Sector NTM P/E Premium to S&P 500 Is the tech sector expensive relative to the S&P 500? Image: Goldman Sachs Global Investment Research

Average 12-Month Forward S&P 500 Returns by Equity Risk Premium Tranche According to the chart, the current equity risk premium suggests strong gains in the S&P 500 over the next 12 months. Image: SunTrust Private Wealth Management

S&P 500 Equity Risk Premium: Earnings Yield Minus 10-Year Treasury Yield Chart suggesting that the S&P 500 equity risk premium looks attractive. Image: SunTrust Private Wealth Management

S&P 500 Next Twelve Month Equity Risk Premium Chart suggesting that the S&P 500 NTM equity risk premium remains well above its long-term average. Image: Morgan Stanley Research

U.S. Dollar and S&P 500 Equity Risk Premium Higher bond yields reduce the S&P 500 equity risk premium, which weakens the U.S. dollar. Image: Morgan Stanley Research

Demographics – Labor Force Growth and Term Premium Chart suggesting that growth in the labor force could explain the term premium. The term premium is the risk premium (or the bonus) that investors receive for the risk of owning longer-term bonds. Image: Fidelity Investments